B      	eyond     every horizon, new horizons always rise
               				                                               			
                                                                                            (Michael Ende)

The crisis under way is accentuating the polarisation between the mass of operators on the one
hand who are shy of innovating, and on the other those of a more daring and long-sighted nature
who continue to allocate resources and ideas toward renewal, and even undertake restructuring and
streamlining operations in parallel if necessary.



                                                                                                                                                                                                Retail
Investing in innovative projects at the present juncture therefore represents an even greater opportunity.
Confirming this is the wide range of projects we present in this year’s overview of retail innovations.
Thanks to our partnership with the World Retail Congress, we have been entrusted with assessing the




                                                                                                                     Research coordinated by Fabrizio Valente - Kiki Lab and Ebeltoft founder
cases competing for the Retail Innovation Award and of selecting six finalists. Despite the recession,




                                                                                                                                                                                                Innovations 6
new project ideas are being explored everywhere. (…) As always, time will determine which of these
innovative strategies will enjoy enduring success. And though these projects all got off on the right foot,
every retailer knows that success must be renewed each day. So, we wish the best of luck to those who
(like ourselves) have found inspiration from their stores.


                                                                                                                                                                                                                                  2010
                                                                                                                                                                                                                  Shaping the future of retail
                    Innovation trends
                    •	 Socialtailing                     •	   Accessible dreams
                    •		“I trust you”                     •	   Greentailing
                    •	 Pro-client efficiency             •	   Liquid retail
                    •	 Glocalism                         •	   Emerging retail territories
                                                                                                                                                                                                Research coordinated by
                                                                                                                                                                                                Fabrizio Valente - Kiki Lab
                                                                                                                                                                                                Founder member of Ebeltoft




Ebeltoft is a business alliance, which was founded in 1990 and is comprised of 19 firms that have a
common, strong focus on the retail and service business, and provide consulting a wide range of services to
                                                                                                                 Retail Innovations 6

help retailers and suppliers in the retail sector remain competitive and achieve their goals. Ebeltoft members
work worldwide both for many market leaders and for important emerging local players.
Ebeltoft has been studying trends and innovations in Retail since it was founded and, since 2005, has
published the yearly report Retail Innovations that focuses on emerging trends and the most interesting
cases worldwide.
Last international surveys: The Trust Factor in Retail; N@o Consumer




  For a personal presentation of the Retail Innovations research and our last international surveys please
                    contact your local member of Ebeltoft at : www.ebeltoftgroup.com
CONTENTS



Business alliance Ebeltoft .................................................................................................2
Market Environment and Trends..................................................................................3
International Cases............................................................................................. 7



Brazil                                                               Singapore
	    Havaianas........................................ 8
              .                                                      	    Action City................................... 68
                                                                     	    Food Republic.............................. 72
Canada                                                               Spain
	   Murale........................................... 12
          .                                                          	    Tous................................................ 76
                                                                     	    Danone Store.............................. 80
                                                                                                .
China
	    House of Barbie.......................... 16
                    .                                                Sweden
                                                                     	   Laxomat........................................ 84
                                                                                .
France
	    Kbane............................................. 20           Switzerland
	    Chez Jean...................................... 24              	    Westside....................................... 88
                                                                                  .

Germany                                                              United Arab Emirates
	   Apo.take........................................ 28              	    Ajmal.............................................. 92
	   Estella Kochlust........................... 32
                         .
                                                                     USA
Great Britain                                                        	   15th Avenue................................. 96
                                                                                    .
	     National Geographic.................. 36                       	   Office Depot..............................110
	     Swarovski...................................... 40
	     Recipease...................................... 44             WEB, France
	                                                                    	  clubatcost.com..........................104
                                                                                      .
India
	     Graavaa......................................... 48
              .                                                      WEB, Great Britain
	                                                                    	  mydeco.com...............................108
Italy
	     Chicco Village............................... 52	              WEB, USA
	     Diablo Rosso - Pirelli................. 56
                                     .                               	  groupon.com..............................112
	     Sconto Maxi................................. 60
                     .                                               	  zappos.com.................................116
	     Spazio Ambasciatori................... 64
                                   .


 Acknowledgments............................................................................................................. 120




                                                                                                      R etail I nnovations 6
b u s i ness             a l l i a nce         e b e l to f t                                                                        M   a r k et       E   n v i r onment              a n d      T   r en d s



                                 Ebeltoft is a business alliance, which was founded in 1990 and is             Retail thrives on change, because retailing strategy is mainly determined by the customers
                                 comprising 19 firms that have a common, strong focus on the retail and        themselves, who rapidly alter their lifestyles, preferences, and ways of shopping. Retail is also driven
                                 service business, and provide consulting a wide range of services to help     by competition, which has become increasingly transversal, and operates through a combination
                                 retailers and suppliers in the retail sector remain competitive and achieve   of physical and digital channels; services competing with products; offers coming with multiple
    their goals. Ebeltoft members work worldwide both for many market leaders and for important                choices (for instance, what impulse to fulfil on a grey day?), with an ever-wider access to consumer
    emerging local players. Ebeltoft has been studying trends and innovations in Retail since it was
                                                                                                               credit, and a constantly fluctuating availability. All these factors combine in determining how and
    founded and, since 2005, has published the yearly report Retail Innovations that focuses on
                                                                                                               what guarantees the “share of wallet” and, even more important today and in the future, the
    emerging trends and the most interesting cases worldwide.
                                                                                                               “share of life” that retailers can obtain from their customers. Lastly, retail involves a 360º type of
    Last international surveys: The Trust Factor (2009); N@o Consumer (2009)
                                                                                                               communication: in the store itself, in relations with customers, through websites, but also through
    Main Services                                                                                              the grapevine, be it traditional word-of-mouth or through web blogs and social networks.
    • Retail Branding                                       • In-store Insight                                 Retail is therefore changing daily, even if retailers are not always aware of it, perhaps because they
    • Strategic Analysis and Planning                       •	Customer Surveys
    • New Concept Development                               • Shopper Category Management                      have not changed their own way of doing business. In this sense, there are basically two paths
    • Multi-channel Strategies and Management               • Retail Tours                                     one can take – either succumb to change, or prompt and channel it through specific, innovative
    Members of Ebeltoft work for 36 of Top 100 Retailers and 15 of Top 20 Manufacturer Brands in the world.    marketing projects

                                          Members of Ebeltoft                                                  The crisis under way is accentuating the polarisation between the mass of operators on the one
    Americas                                                                                                   hand who are shy of innovating, and on the other those of a more daring and long-sighted nature
                                                                                                               who continue to allocate resources and ideas toward renewal, and even undertake restructuring
                                                                                                               and streamlining operations in parallel if necessary.
                                                                                                               Investing in innovative projects at the present juncture therefore represents an even greater
                                                                                                               opportunity. Confirming this is the wide range of projects we present in this year’s overview
    Europe                                                                                                     of retail innovations. Thanks to our partnership with the World Retail Congress, we have been
                                                                                                               entrusted with assessing the cases competing for the Retail Innovation Award and of selecting
                                                                                                               six finalists. Despite the recession, new project ideas are being explored everywhere. And the
                                                                                                               ones with the greatest success are aligned with the more consolidated trends of the emerging
                                                                                                               expectations of the customer. From our global analysis of both strong and weak signs of
                                                                                                               development, this year we have pinpointed ten distinct trends currently under way.



    Asia


                                                                                                                 Research methods
                                                                                                                 Analysis of national and international retail scenarios, pinpointing over 150
                                                                                                                 cases of innovative retail on the international market
    Oceania                                                                                                      Definition of emerging trends
                                                                                                                 Selection and analysis of innovative cases that most typify each trend
                                                                                                                 Analysis of the process of transfer of possible innovations to individual markets




2   R etail I nnovations 6                                                                                                                                                                       R etail I nnovations 6   3
M   a r k et        E    n v i r onment           a n d     T   r en d s                                                          M   a r k et       E   n v i r onment              a n d      T   r en d s


    Smart Pricing. Prices are as topical as ever, and this aspect of the retail mix generally clashes        “I trust you”. Customer trust has become one of the most precious assets for any retail brand.
    with that of innovation. And yet customers have shown growing responsiveness to strategies               And as our recent international research has proved, trust brings a concrete payoff in terms of the
    that combine convenient prices with innovative and involving dynamics. In a short space of time          company’s turnover.  The new retail area opened by Danone in Barcelona presents an initiative
    and thanks to their Price 2.0 project, Groupon has met with a huge success. In itself, the idea          that endorses and boosts the customer trust that the brand has generated in 90 years of activity.
    of offering a new product or discount service online is nothing new, but in this case news of the        Besides offering a taste of the classic Danone product in the yogurt bar at the entrance, the new
    deals spreads rapidly among friends, with the result that almost all the bargains proposed reach         space’s main task is to introduce visitors to the brand’s history, values, and projects, through a
    their target sales figure, thanks also to Groupon’s knack of choosing the right product for each         series of interactive consoles and a regular calendar of seminars on the principles of healthy eating.
    different local context.
                                                                                                             Pro-client efficiency. Time continues to be the number one luxury for many people, and
    Customer-oriented. Customer service is one of the fundamental yardsticks of retail success.              hence time offers a strategic factor whereby retailers can stand out from the crowd with
    Given the indiscriminate cuts under way, standards tend to drop, while the expectations of               proposals for a swift, efficient, and well-organised shopping experience. Apo.take is a small chain
    customers rise. The online store offered by Zappos involves a product range in which sensory             of German pharmacies that has revolutionised the process of data collection and purchase: the
    rapport is crucial: shoes with no discount. The idea has triumphed thanks to a standard of               display shelves are not arranged with products but with purpose-made data-cards detailing the
    customer care that has become legend. Here, if a shopper changes his mind, he has up to 365              product in plain language. In this way customers move around freely in the first phase of the visit,
    days to return his purchase free of postage and packing; and all customer relations are focussed         choosing their items, and if necessary can ask advice from a pharmacist. Meanwhile in Sweden a
    on warmth and kindness toward the purchaser. The secret in this case is the handpicked crew              restaurateur has successfully introduced the Laxomat, a completely automated food-distributor
    of strongly motivated sales staff. Zappos even offers its personnel a special payoff after their trial   powered by RFID technology, linked to his original restaurant and providing hot and cold takeaway
    period if they don’t fit into the company’s ethos.                                                       food 24/7 all year round, with special attention to local dishes. Chez Jean, the new concept store
                                                                                                             launched by Casino in France, is a convenience store that offers a mixture of food and non-food
    Anti-snob quality. In the past, the fortunes of luxury were based on the dynamics of                     items plus services for on-the-fly consumption, while also providing a cosy corner where you can
    ostentation. Nowadays this idea and product positioning has evaporated, passing from the hyper-          sit and take your time.
    luxury niche and exclusive goods to a more democratic and accessible type of luxury. Today this
    dimension taps into the quest for high-quality products that eschew the undesired side-effects           Glocalism. Trade is becoming steadily more local in spirit. Even multinationals have caught on,
    of snobbery and being out of reach. Thanks to his having become a household name through                 and retailers are becoming more attuned as they develop international markets, combining a
    television shows, world-renowned cook Jamie Oliver recently launched a hybrid convenience                strong global identity with a local slant. Havaianas is now a global brand, yet for its first flagship
    store in London called Recipease, in which the customer can drop by for purchases but also               store in São Paulo it has endorsed its Brazilian roots, with a tropical floorplan that allows the
    attend courses and learn to cook quick but healthy dishes, while enjoying the experience of an           climate outside (sun, rain) to filter indoors, and proudly displays the humble origins of its very first
    informal approach in a pleasant laid-back environment.                                                   flip-flops. Starbucks’s latest offshoot 15th Avenue is a coffee-store that engages local residents
                                                                                                             to contribute, and even decide on what music to play in-store.
    Socialtailing. This year’s offering sees the continued growth of the social and community
    dimension of the market, by which retailing has become a platform where customers share and
                                                                                                                   Trends
    swap experiences, in some cases spawning the co-design of new products. MyDeco provides an
                                                                                                                   Smart pricing                              Pro-client efficiency
    online service that gives customers the opportunity to design the interiors of their own home,
                                                                                                                   Customer-oriented                          Glocalism
    uploading photos onto the site and using simple applications to simulate the various possible
                                                                                                                   Anti-snob quality                          Accessible dreams
    combinations, with a varied palette of available items that range from basic elements to more
                                                                                                                   Socialtailing                              Greentailing
    exclusive designs. In particular, customers can compare their own ideas with those of other site
                                                                                                                   “I trust you”                              Liquid retail
    members and exchange design tips. In this way they can suggest to MyDeco novel interior designs
    which, if adopted and popular, earn bonuses for the customer.



4   R etail I nnovations 6                                                                                                                                                                    R etail I nnovations 6    5
M   a r k et        E    n v i r onment           a n d     T   r en d s



    Accessible dreams. The recent economic crisis has stimulated a desire for more simple
    and accessible pleasures which allow consumers to express themselves and their personality.
    Swarovski, which has become synonymous with sparkling glamour, has now opened a magical
    London flagship store to showcase their products and the dreams they represent. The gorgeous
    crystals are sold individually, enabling the customer to be more engaged in the experience of
    choosing, buying, and personalisation, including the possibility of customising personal garments
    or other accessories with Swarovski crystals. In this way the act of creative enhancement is made
    more accessible and satisfying.
                                                                                                             International Cases
    Greentailing. Green retailing is now a widespread phenomenon, partly through a growing
    social awareness toward environmental issues, and partly due to economic considerations of the
    increasingly short-term benefits for business. Launched by the Leroy Merlin group, Kbane in
    France is the first DIY concept store entirely devoted to green products and solutions for home
    building, decoration, and energy saving. Office Depot, for the first time in the office supplies
    retail sector, proposes the same approach in the United States with a broad quota of the
    assortment consisting of green goods. In this concept store, the enthusiasm of the sales personnel
    is one of the pivotal factors endorsing the chain’s positioning: accurate selection, training courses,
    activities for sharing ideas on green issues, but also encouragement to improve habits such as the
    bicycle repair kit provided to all personnel.

    Liquid retail. The blurring of the processes that underlie how and when we make our purchase
    decisions offer the retail sector some interesting occasions for proposing multiple shopping
    situations that can be adapted to different customers and contingencies, creating liquid and flexible
    shopping contexts.  The last concept of chain jewellers Tous mixes self-service areas, suitable for
    fast fruition and direct interaction with products, with more refined and luxurious areas, where the
    interaction is primarily with the staff, and the purchasing processes are totally different.

    As always, time will determine which of these innovative strategies will enjoy enduring success.
    And though these projects all got off on the right foot, every retailer knows that success must be
    renewed each day. So, we wish the best of luck to those who (like ourselves) have found inspiration
    from their stores.




6   R etail I nnovations 6
BRAZIL               -   São   Paulo




           Havaianas
    Famous all around the globe, Havaianas opened its first flagship store
    that pays homage to its Brazilian roots, while masterfully asserting
    its new fashion positioning                                                                      Key data
                                                                                                     Format: flagship store
                                                                                                     Launched: 2008
                                                                                                     300 sqm
                                                                                                     350 products
                                                                THE CONCEPT                          15 staff
                                                                The first Havaianas concept          Price-range for flip-flops from $5 to $140
                                                                store recently opened in São
                                                                Paulo in Rua Oscar Freire,           Key data for Alpargatas Group
                                                                one of the city’s trendy             2008: $1.1 billion (11% up on 2007)
                                                                neighbourhoods.                      Exports to 80 countries worldwide
                                                                With its 300 square meters of
                                                                floorspace the store manages
                                                                to unleash the full power of       falling onto the numerous        that characterise the brand’s
                              MARKET OPPORTUNITY                the label and also involve         thick plants below, all local    own history.
                              After conquering the world        its customers. Starting with       in origin. Stools and benches    With this flagship store,
                              in the last decade with their     the foyer, which is made           carved into the trunks of the    customers can, for the
                              inexpensive, quality flip-flops   to appear like an extension        tropical trees provide seating   first time, find the entire
                              Havaianas has repositioned        of the street, the customer        for customers. The design        assortment of Havaianas
                              itself toward the fashion         enters on the mezzanine            powerfully conveys both the      merchandise under a single
                              market. A vital step in this      level, overlooking the main        Brazilian spirit of beauty and   roof.
                              strategy was to complement        floor below. The space is          the force of nature, elements
                              the mono-brand outlets            naturally lit throughout via
                              already present with a larger,    ample skylights set into
                              innovative and conceptually       the ceiling, which creates a
                              striking flagship store that      constant interplay of shade
                              would communicate more            and sunshine. When it rains,
                              directly with the customer,       openings at the sides allow
                              and boost the brand’s market      rain to enter, giving a tropical
                              authority.                        effect with showers of water
8   R etail I nnovations 6                                                                                                                                          R etail I nnovations 6   9
H   ava i a n a s        -    BRA Z IL




                                  This includes flip-flops,
                                  bags and accessories, as
                                  well as lines that were
                                  previously not available
                                  in Brazil.
                                  The store combines                                                                                     CONCLUSIONS
                                  varied types of display                                                                                The flagship store has an
                                  areas. At the entrance                                                                                 average turnover of 4,000 to
                                               visitors are                                                                              5,000 receipts per week.
                                                                       The back section of the
                                               greeted by a                                                                              The flagship store marks
                                                                       store is devoted to bags and
                                               classic street-stall                                                                      a critical leap forward in
                                                                       accessories, new flip-flops
                                               loaded with the                                                                           Havaianas’s position in the
                                                                       designs, and a stand where
                                               “original” flip-flops                                                                     market. The fashion flip-
                                                                       customers can customise
                                               in the lowest cost                                                                        flop has come a long way,
                                                                       each model with sequins or
                                               bracket. A large                                                                          given that they are worn by
                                                                       other accessories.
                                               cube composed of                                                                          stars and celebrities, even
                                               51 plasma screens                                         A selection of displays for     at such high profile events
                                                                       Retail is Detail
                                               depicting flip-flops                                      children’s products are         as the Academy Award
                                                                       The customer can easily
                                               and the brand, with                                       arranged in the form of         presentations.
                                                                       identify their shoe size by
                                               a film that tells the                                     puzzles and are visually
                                                                       utilising several small carpets
                                  various stages of Havaianas’s                                          interesting for children and
                                                                       with templates drawn with
                                  history, starting from 1962.                                           adults alike.
                                                                       each size. The personalised
                                  The high-end series of
                                                                       flip-flop that are created by
                                  flip-flops that are exclusive
                                                                       customers are photographed
                                  domestically to the flagship
                                                                       and stored in a digital archive
                                  are prominently displayed in
                                                                       that can later be viewed via a
                                  a container in the store.                                                   Key points of innovation
                                                                       touch-screen monitor.
                                  One wall of the store features                                              Flagship store raising the group’s market position
                                  a huge rainbow-like display                                                 Consistent with the Havaianas identity of tradition and modernity
                                  of all the available
                                  hues of the flip-                                                           Notes on Retail Mix
                                  flops, alongside                                                            Intensely specialized assortment
                                  the exclusive
                                                                                                              Personal customisation possible for all models
                                                                                                              Lively involving environment
                                  perfume created
                                                                                                              Plentiful numbers of willing staff
                                  for the brand.


10   R etail I nnovations 6                                                                                                                                                  R etail I nnovations 6   11
CANADA




            Murale
     A new type of beauty parlour with luxury cosmetics, both leading
     and emerging brands, and a new level of personalised customer-service,
     with professional skincare and beauty consultation, which includes
                                                                                                  Key data
     qualified help from a pharmacist                                                             Format: perfumery
                                                                                                  Launched: 2009
                                                                                                  3 outlets (Ottawa, Montréal, Toronto);
                                                                   the mother chain, but has      8 by the end of 2010
                                                                   managed to win over a          250-350 sqm
                                                                   new range of customer.         Owners: Shoppers Drug Market Corporation


                                                                   The concept
                                                                                                thoroughfare, locations          items and product from all
                                                                   The typical Murale
                                                                                                facilitated by the group’s own   over the world.
                                                                   premises occupies
                                                                                                real-estate branch.              The main brands occupy
                                                                   an average of 300
                                                                                                The visual impact of the         corners where there
                                                                   square metres, putting
                                                                                                store lies in the clean,         customers can interact and
                                                                   it considerably above
                                                                                                well-illuminated design and      test out the products, areas
                                                                   average size for this
                                                                                                assortment of products,          that render the layout more
                                                                   sector, and therefore
                                                                                                which range from high-           dynamic, creating more
                              Market opportunity                distinguishing it from the
                                                                                                end beauty products and          intimate shopping spaces.
                              The sector of beauty products     standard outlets found in
                                                                                                perfumes to niche brands,        Among the selection are
                              and perfumery is in constant      the downtown or in the
                                                                                                with a wide gamut of new         the usual top labels such
                              evolution; today’s customers      shopping malls. But beyond
                              expect retail outlets to offer    the extra floor space, the
                              niche services and state-of-      concept pivots on an eye-
                              the-art assistance. This is why   catching transparent design
                              the leading Canadian retail       whose optimal display
                              chain SDM (Shoppers Drug          clarity allows customers to
                              Mart), which boasts some          get to know Murale and
                              1,200 drugstores, decided to      browse its assortment. Each
                              launch a new concept Murale,      store is located in a prime
                              which in part competes with       position in a main pedestrian
12   R etail I nnovations 6                                                                                                                                     R etail I nnovations 6   13
M   u r a l e       -    C A N ADA




                                as Chanel, Estée Lauder,        their needs, offering tips and
                                Lancôme, Nars, Bobbie           expert advice on makeup,
                                Brown, but also such            each one equipped with a
                                innovative brands as Natura     special kit of accessories to
                                Bisse, Murad, and Darphin,      enable customers to try out
                                                                                                   shopper, plus a broad array
                                with its new trendy line of     products firsthand.
                                                                                                   of special services and
                                cosmetics from San Francisco.                                      treatments.
                                                                Retail is detail                   The results of applying this
                                                                           One of the key          strategy have been very
                                                                           features of the store   positive for the first three
                                                                           is the professional     stores, and the group plans
                                                                           skincare section,       to open another five in other
                                                                           where personalised      cities across Canada.
                                                                           treatments are
                                                                           provided by a
                                                                           beautician and a
                                                                           pharmacist. Murale
                                                                           offers a range of 30
                                                                           special professional
                                                                           services, from
                                                                           beauty treatments
                                                                           to thermal cures,
                                                                           which are available
                                The variety of perfumes         in a booth near the skincare
                                                                                                         Key points of innovation
                                covers 75 different items,      section.
                                                                                                         Ample assortment, wide-ranging, and with an innovative mixture
                                for both women and men,
                                                                                                         Broad selection of professional services
                                and all in all Murale carries   Conclusions
                                products from over 200          Murale has secured a unique
                                                                                                         Notes on Retail Mix
                                different brands.               position in the high-end                 Assortment: beauty products and perfumes
                                Easily distinguished by their   bracket of the cosmetics                 Wide range of professional services: spa, “brow bar”, clinical section, makeup,
                                smart black uniforms, the       sector because it has                    lessons in skincare, “bridal makeup” applications
                                expertly trained sales staff    expanded the traditional                 Modern retail design clearly marked out by area
                                and assistants, known as        offering provided in the                 Numerous trained staff
                                “Beauty Masters”, are on hand   department stores with a
                                to help customers choose        range of emerging trendy
                                the cosmetics most suited to    brands that attract a younger
14   R etail I nnovations 6                                                                                                                                              R etail I nnovations 6   15
CHINA             -      Shanghai




            House of Barbie
     For its 50th anniversary Barbie follows a whim, not for a face-lift
     but for a six-storey flagship store in one of the world’s new retail capitals,
                                                                                                     Key data
     Shanghai, offering a wealth of excitement for girls of all ages
                                                                                                     Format: flagship store
                                                                                                     Launched: 2009
                                                                                                     First Barbie store in the world
                                                                                                     3,400 sqm on 6 stories
                                                                  opened a flagship store in
                                                                  Shanghai in 2009 dedicated
                                                                  to the famous doll.
                                                                                                  Slade Architecture did the         for over 800 different Barbie
                                                                  The concept                     overall building design.           dolls. With a focus on the
                                                                  Barbie Shanghai is a six-       A central element of the           shopping experience, the
                                                                  story emporium that contain     retail design, which lies at the   outlet offers visitors four
                                                                  the largest and most            core of the store complex, is      dedicated “experience”
                                                                  comprehensive collection        the striking spiral staircase,     features: the first is the Barbie
                                                                  of Barbie dolls in the world,   which provides display space       Design Centre, where girls
                                                                  having no fewer than 875                                                  are taken through the
                                                                  models on display, alongside                                              step-by-step process
                                Market opportunity                a prodigious assortment                                                   of designing outfits,
                                Brand dolls with a distinct       of licensed Barbie-related                                                with a variety of tops,
                                personality like Barbie tend      products (from clothing                                                   dresses, trousers,
                                to suffer in traditional retail   to accessories). But what                                                 gowns, jackets, shoes
                                outlets – such as shopping        makes this flagship store                                                 and bags.
                                malls, mass-market stores,        so exceptional is the vast                                                The Barbie Fashion
                                and the small specialist shops    range of added activities and                                             Stage allows girls to
                                - where they are “smothered”      services for Barbie fans and                                              get up on the runway
                                by a mass of other toys that      their families.                                                           like a real fashion
                                are rarely in the same class.     The retail experience                                                     model, choose their
                                In response, Barbie’s general     floors was designed by the                                                own outfit, with
                                manager Richard Dickson           Chutegerdeman firm and                                                    make-up and

16   R etail I nnovations 6                                                                                                                                              R etail I nnovations 6   17
H   o u se       o f     B   a r b i e     -   CHINA




                                                                                                     they receive previews for
                                                                                                     new product releases, special
                                                                                                     discounts, and a present on
                                                                                                     their birthday: the Barbie Pink
                                                                                                     World is the premium given
                                                                                                     to its most faithful customers.


                                                                                                     Conclusions
                                                                                                     Mattel is the world’s largest
                                                                                                     producer of toys, and
                                   hair-styling by professionals.    (also pink) where the           launched its new concept
                                   There is also a Barbie Spa that   hallmark Barbie style reaches   store in Shanghai to keep
                                   offers daily spa treatments,      its acme: girls who wish to     Barbie above the competition
                                   facials, skin-care, massage,      reproduce this room at home     of new dolls, videogames,
                                   hair and nail services - all      can find all the necessary      and electronic gadgets, and
                                              available to both      items in the store, and give    invert a period of difficulty for
                                              males and females.     their home a makeover in        the market and the brand.
                                              And last, at the       perfect Barbie style.
                                              Barbie Cafe
                                              customers can          Retail is detail
                                              enjoy a lively menu    Among the more significant           Key points of innovation
                                              of healthy platters,   features is the Barbie gift-
                                                                                                          An entire world combining products, services, and shopping experience
                                              including seasonal
                                                                                                          Section where customers can design their own Barbie doll
                                                                     voucher system, and the free
                                              dishes, Italian ice-   VIP-card offering discounts
                                   creams, and Barbie-style
                                                                                                          Notes on Retail Mix
                                                                     on the favourite activities
                                                                                                          Focused comprehensive assortment: 875 Barbie dolls
                                   drinks.                           provided at the Shanghai
                                                                                                          Transversal target for a historic brand
                                   Elsewhere on the premises         store. VIP-cardholders who
                                                                                                          In-store visual identity based on hallmark Barbie pink
                                   is a dedicated reading-room,      wish to proceed to the next
                                                                                                          4 entertainment zones: café, runway, design centre, and health spa
                                   painted in Mattel’s patented      stage earn themselves a
                                   Barbie pink, and a bedroom        Barbie Pink Passport, where

18   R etail I nnovations 6                                                                                                                                            R etail I nnovations 6   19
FRANCE                   -   Villeneuve              d ’A s c q     (Lille)




        Kbane
     A unique retail space that sells everything required for building and running
     an eco-friendly home at affordable prices: products, services,
     and solutions for a healthy house that respects the environment

                                                                                                          Key data
                                                                                                          Format: superstore for DIY and home building, fittings
                                   Market opportunity                dedicated to eco-friendly and        and decorating
                                   As today’s consumers              sustainable development              Launched: 2009
                                                                     home. The name itself is a           1,200 sqm
                                   become increasingly more
                                                                                                          3,000 products
                                   informed and sensitive            clever device that refers to the
                                                                                                          9 in-store staff
                                   towards environmental             French word cabane, which
                                                                                                          6 main types of product and services
                                   issues, they are accordingly      translates as both log-cabin
                                                                                                          Groupe Adéo (Leroy Merlin)
                                   changing their lifestyles and     (nature) and tool-shed (DIY).
                                   spending habits, which has        The store’s aim is to spread
                                   created new openings for          awareness of products and
                                   retailers able to address the     methods of eco-building and
                                                                                                        broader range of consumer         specialised products and also
                                   new trend with eagerness          consumption, expanding from
                                                                                                        by offering lower prices and      well-known brands in the
                                   and transparency. While in        the present target of green
                                                                                                        greater ease of shopping          eco-sustainability sector, such
                                   many countries including          architects and more moneyed
                                                                                                        under a single roof.              as Volvox and Auro for paints,
                                   France, various new “green”       home-builders towards a
                                                                                                        The assortment provided           and Osram for lighting. Some
                                   concept stores have emerged
                                                                                                        by Kbane ties in with the         manufacturers have jumped
                                   (in food and gardening, for
                                                                                                        company’s promise: 75% of         at the opportunity, offering
                                   instance), in the sector of DIY
                                                                                                        the items on sale were so far     an exclusive supply of certain
                                   and eco-friendly building, no
                                                                                                        not available through retail      products, even launching
                                   retailer had addressed this
                                                                                                        outlets in France, for example:   new items tailor-made for
                                   new demand until the launch
                                                                                                        natural clay-based paints,        the store. In addition, three
                                   of Kbane.
                                                                                                        timber from sustainable           brands from Adéo Group are
                                                                                                        woodland, “green”                 distributed in Kbane: Geolia,
                                   The concept
                                                                                                        gardening equipment, etc.         Lexman, and Inspire.
                                   In France, Kbane is the only
                                                                                                        Kbane’s offering focuses on       Beyond products in the
                                   retail concept outlet totally
20   R etail I nnovations 6                                                                                                                                                 R etail I nnovations 6   21
K   b a ne       -   FRA N C E




                                                               Retail is detail
                                                               Kbane has devised a system
                                                               of labelling that involves
                                                               classifying them in terms
                                                               of impact on four fronts:
                                                               healthy, environment,                                    It is likely that Kbane will
                                                               saving/recycling, and                                    constitute a sort of ongoing
                                                               shipping miles. Similarly,                               workshop-outlet for the
                                                               all the displays are made                                Groupe Adéo, where it can
                                                               from natural materials and                               try out new ideas and learn
                                                               created on-site by Kbane                                 more about this burgeoning
                                                               workers to avoid transport.                              market, so as to insert the
                                                                                                                        more successful features

                                                               Conclusions                                              inside its mass-market stores,

                                                               Kbane has defined itself                                 such as Leroy Merlin.
                              store, Kbane also provides
                                                              more as a R&D concept store
                              hands-on assistance and
                                                              than a simple pilot project
                              cutting-edge solutions, such
                                                              to be reproduced at national
                              as diagnosis for home energy-
                                                              level; however, a second
                              consumption, engineering
                                                              outlet is planned for 2011.
                              consultancy, workshops, and
                              installation services.                                         Key points of innovation
                              Overall Kbane store presents                                   The unique concept store entirely devoted to building and managing
                              a highly efficient format                                      an eco-friendly home
                              with an accessible                                             Products and customised proper solutions all at affordable prices
                              merchandising approach
                              that involves the                                              Notes on Retail Mix
                              consumer, provides a                                           Assortment: 6 segments: water and air quality; insulators; renewable energy;
                              wide range of information                                      daily energy saving; organic garden
                                                                                             400 books on display
                              on most of its products,
                                                                                             Product labelling includes ecological impact information (health, environment,
                              and even offers the
                                                                                             recycling, shipping miles)
                              chance to test them out.
                                                                                             Amphitheatre-style layout and ecological signage
                                                                                             Services: 500 sqm devoted to construction solutions and large-scale
                                                                                             projects advise



22   R etail I nnovations 6                                                                                                                                 R etail I nnovations 6   23
FRANCE                   -   Paris




            Chez Jean
     A new French style convenience store concept that allows time-saving,
     proposes state-of-the-art service, a hybrid offer and quite aggressive prices,                     Key data
                                                                                                        Format: convenience store
     all in a modern environment
                                                                                                        Launched: 2009 with 2 stores in Paris
                                                                                                        2010: 4 stores in Paris, 1 in Marseille and soon
                                                                                                        1 in Toulouse
                                                                                                        380 sqm on 2 storeys
                                                                                                        5 staff
                                                                                                        Seating for about 60 people in snack bar/café
                                                                                                        650 food products, 150 newspapers & magazines
                                                                                                        Joint venture with Relay (news-stands and bookstores in
                                                                                                        airports and railway stations) and Casino
                                                                                                        (hyper-and supermarkets)

                                                                                                      The concept                      selling-points in the food
                                                                                                      Chez Jean is a hybrid retail     area, which is where Chez
                                                                                                      outlet that combines snack-      Jean concentrates most of
                                                                                                      bar and grocery store with       its sales, margins and traffic
                                              MARKET                  Given the current average of
                                                                                                      a newsagent’s, offering to       through the store. The area is
                                              OPPORTUNITY             1 in 7 meals consumed away
                                                                                                      a growing quota of city-         focused on solutions rather
                                              When they need          from home, the French are
                                                                                                      dwellers pressed by time.        than on individual products,
                                              something to eat,       still far from the American
                                                                                                      This is a new way to make        and provides any kind of
                                              the French are          rate of 50% total of meals
                                                                                                      speedy and last minute           meal (breakfast, coffee-
                                              turning more and        eaten out. The French market
                                                                                                      purchases in a single            break, lunch, aperitif, dinner),
                                              more frequently         therefore offers interesting
                                                                                                      outlet open 7 days a week        powered by dynamic, smart
                                              to quick snacks         potential, particularly for
                                                                                                      until 11 p.m. Chez Jean is       merchandising. For instance,
                                              and ready-made          food retailers. Casino has
                                                                                                      not about “gastronomy”           cakes and brioches are put
                                   dinners, which they see as         recently partnered with
                                                                                                      (giving a large and deep         out for breakfast and again,
                                   cheaper, quicker, and more         Relay to launch a chain of
                                                                                                      choice in products,…), but       later on, for an afternoon
                                   practical than a sit-down meal     newsagent’s called Chez Jean,
                                                                                                      mainly about convenience         break. On one side, there is
                                   in a restaurant. For this reason   a convenience store concept
                                                                                                      and most of all, services.       a self-service area with 650
                                   the fast-food market increased     that offers a broad range of
                                                                                                      Convenience and time-            different food products and
                                   its turnover by 10% in 2008.       products and services.
                                                                                                      saving are particularly strong   toiletries for fast, last-minute
24   R etail I nnovations 6                                                                                                                                               R etail I nnovations 6   25
C   hez      J   e a n   -   FRA N C E




                                  purchases - a perfect solution
                                  for not going empty-handed
                                  to an unexpected dinner, for
                                  example. For this reason, the
                                  beverages (alcoholic and non-                                     offices and tourism, to
                                  alcoholic) are sold chilled and                                   gauge whether the concept
                                  ready for consumption. On                                         managed to meet the
                                  the other side, customers can                                     expectations of not only
                                  find an area offering carefully                                   Parisians but also of other
                                  chosen, hot, ready-to-eat                                         large and midsize cities in
                                  meals at very convenient                                          France. There is now a total of
                                  prices. One such dish, “Wake-                                     4 stores in Paris and a bright
                                             up”, comprises                                         new one in Marseille (125 sq
                                             a bun and a hot                                        - opened in February 2010).
                                             drink; “My Lunch”                                      If the pilot project catches on,
                                             boasts a sandwich-                                     the group envisages opening
                                             roll, a dessert, and   cash-machines, free wi-fi       another 10 Chez Jeans within
                                             a fresh drink for a    connection, and a machine       the current year 2010. A new
                                             market competitive     for recharging mobile phone     store shall be open soon in
                                             euro 6.90.             batteries on-the-fly.           Toulouse (average city in the
                                                                    All this is made available      West-South of France).
                                             Retail is              in a modern, easy-going
                                             detail                 environment complemented
                                             Besides the            by pleasant decor designed            Key points of innovation
                                                                    by the Saguez agency, and             Hybrid concept store: bakery, small grocery, café/snack bar, newsagent
                                             excellent prices,
                                                                    the typical French layout
                                                                                                          Modern and focused on a convenience store approach
                                             Chez Jean’s main
                                             appeal lies in the     consisting of stools arranged
                                                                    along the window-fronts
                                                                                                          Notes on Retail Mix
                                  vast range of extra services
                                                                                                          Assortment: grocery, a very small fresh products offer, frozen meals,
                                  and products devised to           affording a view of the busy
                                                                                                          drinks, fresh and ready-made meals, toiletries, newspapers, magazines,
                                  make city-life easier. Here       Paris streets.
                                                                                                          books, bakery, fresh flowers
                                  people can also buy fresh
                                                                                                          Low price on ready-made meals, and aligned for groceries
                                  flowers, newspapers, best-        Conclusions                           and other products
                                  seller books, lottery tickets,    The first pilot store was             3 sales staff; 2 in warehouse
                                  and of course, champagne          opened in Paris in the                Free services: wi-fi access; dispenser for recharging mobile batteries;
                                  and wine. Among the various       République quarter, a                 ATM bank-teller
                                  free services, there are ATM      neighbourhood of mixed
26   R etail I nnovations 6                                                                                                                                             R etail I nnovations 6   27
GERMANY




           Apo.take
     A discount pharmacy concept store, with an innovative purchasing system
     and intensive counter and self-service assistance
                                                                                               Key data
                                                                                               Format: discount pharmacy
                                                                                               Launched: 2006
                                                                                               5 pharmacies (4 in franchising)
                                                                                               From 50 to 130 sqm
                                                                                               300 products



                                                                                             service in a considerably         on the shelves he finds an
                                                                                             different ambience and with       array of printed cards giving
                                                                                             a discount of 30% on all the      information on the required
                                                                                             300 OTC products present.         product.
                                                                                             But the main difference lies in   Once the customer has
                                                                                             the way the customer obtains      decided what to buy, he takes
                                                                                             information and chooses           the info-card to the counter,
                              Market opportunity             that have scored considerable   what to purchase: instead         where he can get further
                              On 1 January 2004, the         success.                        of going to the traditional       information if necessary. In
                              German government                                              service desk, at Apo.take         this way the system respects
                              modified the laws on market    The concept                     he is confronted with a           the law by which OTC
                              competition on the pricing     The first Apo.take pharmacy     self-service type layout as       products must be handed
                              of OTC products, leaving       was opened right next to        in a supermarket, whereby         over by trained staff.
                              pharmacies free to decide      one of the group’s own          instead of household goods        Customers may also
                              independently what prices      I-Punkt pharmacies. Due to
                              to apply to this category of   their different positioning,
                              product.                       the two are actually
                              While many pharmacists         complementary. Compared
                              have protested against the     to the more traditional and
                              changes, others like           premium-positioned I-Punkt
                              Apo.take have responded        pharmacy, Apo.take offers a
                              with innovative approaches     streamlined and functional
28   R etail I nnovations 6                                                                                                                                    R etail I nnovations 6   29
A   p o   .   ta k e     -   GERMANY




                                                                                                     medicine, if the product
                                                                                                     contains lactose, etc.
                                                                                                     The product categories are
                                                                                                     marked in a language that
                                                                                                     is easily comprehensible to
                                  purchase prescription            short-time offers only, counter   the customer (e.g. “common
                                  medicines at the counter.        to the logic of a sector in       cold”), and are translated
                                  The 30% discount is fixed        which most purchases              into four languages, German,
                                  for all the products, and        cannot be planned ahead.          English, Turkish, and Russian.
                                  the pricing policy of “low-      By contrast, the Apo.take
                                  cost every day” has won an       system of info-cards provides     Conclusions
                                  ever-growing number of           complete transparency on the      This concept of “discount-        basis. The new chain marked
                                  converts, who are increasingly   discount offered, and enables     pharmacy” has met with            a growth of 25% in the half-
                                  turned off by the often          the comparison of prices          considerable success: a           year 2008/09, based on the
                                  aggressive advertising of up     between similar items. If the     recent poll among customers       20 principal products (against
                                  to 60% discounts offered         customer has spare time and       recorded an approval rating       an increase of less that 3%
                                  by the traditional outlets –     requires further information,     of 1.8 (on a scale from 1         on the general market).
                                  and particularly by online       he can sit in a special lounge,   max, to 6 min). After the first
                                  pharmacies – which cover         where magnifying lenses           one was opened, four others
                                  few products and always have     are provided for studying         followed on a franchising
                                                                   the documentation in full.
                                                                   This informative approach
                                                                                                          Key points of innovation
                                                                   addresses the ever-growing
                                                                                                          Pharmacy that works in synergy with its traditional counterpart
                                                                   request for customer
                                                                                                          Hybrid information system of both self-service and assistance
                                                                   autonomy.

                                                                                                          Notes on Retail Mix
                                                                   Retail is detail                       Focused assortment
                                                                   In addition to the basic               Discount prices (fixed 30%)
                                                                   information, the info-card             Basic fittings and interiors
                                                                   includes a FAQ section, such           Info-cards on each product, price, along with FAQ data
                                                                   as whether it is advisable             Area assigned for reading data, with seating and magnifying lenses
                                                                   to drive after taking a given
30   R etail I nnovations 6                                                                                                                                                 R etail I nnovations 6   31
GERMANY                  -    Cologne




            Estella Kochlust
     The daily business of preparing food can become a whole lot of fun
     with Estella Kochlust, a store selling food and cooking utensils,
     where food preparation is an all-round experience

                                                                                                    Key data
                                                                                                    Format: concept store based on cooking
                                                                                                    Launched: 2009
                                                                                                    240 sqm
                                                                    of daily life to spend more     1 outlet
                                                                    time with friends and family.
                                                                    Germany’s new Estella
                                                                    concept store aims to address   that cooking is no longer        kitchenware, and foodstuffs,
                                                                    both these two modern           seen as a “chore”, given its     and possibly stay for the
                                                                    needs, by associating the       inescapable involvement          various events held on-site,
                                                                    socialising factor with high-   in family life. Created by a     such as evening cooking
                                                                    quality food in a warm and      British designer, every aspect   classes. In the retail area
                                                                    welcoming atmosphere.           of the store is devised to       of around 240 sqm, the
                                                                                                    stimulate the customer to        customer can find a fully-
                                  Market opportunity                The concept                     linger on the premises and       working kitchen corner, along
                                  Among the various macro-          Estella Kochlust (“the          take his/her time to browse      with an assortment of goods
                                  trends that are rapidly           cooking urge”) mainly           the assortment of gadgets,       picked for their aesthetics
                                  traversing the globe is           sells kitchen utensils and
                                  personal well-being and a         delicatessen products, but
                                  healthy lifestyle, with all its   is actually a concept store
                                  various implications. One         with a strong identity that
                                  of the manifestations of          encourages customers to
                                  this trend is the functional,     enjoy food and the art of
                                  organic and slow-food             cooking as an all-round
                                  philosophy, along with            experience, underscoring
                                  “cocooning”, namely,              the multi-sensory delights
                                  retreating from the stresses      of food preparation so
32   R etail I nnovations 6                                                                                                                                          R etail I nnovations 6   33
E   ste l l a       -    GERMANY




                                                                                                 Each lesson costs from euro
                                                                                                 55 to euro 80 per person, but
                                                                                                 this in-store event has already
                                                                                                 garnered a steady following.


                                                                                                 Retail is detail
                                                                                                 What makes this concept
                               and practicality. The utensils   authentic Mediterranean
                                                                                                 store different from the
                               and tableware are a mixture      cuisine. In the gourmet
                                                                                                 traditional food retail outlet
                               of handcrafted items – with      section, many of the products
                                                                                                 is the amount of care and
                               ethnic products such as the      are from far-away places,
                                                                                                 passion conveyed in every
                               traditional tagine earthenware   such as the range of olive-
                                                                                                 detail: the information on
                               cooking pot from North           oils and the kind of spices
                                                                                                 each product and its origins,     Conclusions
                               Africa – and others of more      often used in the cooking
                                                                                                 the design of the store itself,   Given the concept store’s
                               modern design. To motivate       demonstrations, artfully
                                                                                                 the names given to the            success, there are plans
                               the customer and guide him       arranged to give “inspiration”
                                                                                                 cookery classes, and the          to open other stores in
                               or her in the preparation of     to the act of cooking.
                                                                                                 excellent customer service.       Düsseldorf and Münster.
                               recipes, there is a section      The evening cooking demos
                               of books devoted to the          run twice weekly and are
                                                                attended by a maximum of
                                                                16 participants.
                                                                The themes change each                Key points of innovation
                                                                time, and have alluring titles        Mixture of sales, gastronomy, and hands-on cooking experience
                                                                such as “Marrakech, tagine,           World of assortment tuned to the shopper’s experience: preparing, cooking,
                                                                and argan oil – an evening            serving, and eating
                                                                packed with flavour!”, or
                                                                “Cook & Chill & Pastabasta”.          Notes on Retail Mix
                                                                At the end of each session            Assortment: kitchen utensils, cookery books, national and international
                                                                                                      foods (wine, spices, biscuits, chocolate, tea, pasta, pesto…)
                                                                the participants can dig in to
                                                                                                      Mixture of handcrafted and modern kitchenware
                                                                platters prepared on-site by
                                                                                                      Lively and stimulating interiors
                                                                the gourmet teacher-chefs.
                                                                                                      Services: evening demo classes with gourmet chef


34   R etail I nnovations 6                                                                                                                                          R etail I nnovations 6   35
G R E AT          B R I TA I N     -   London




        National Geographic
     A visually thrilling retail Store that deploys assured and engaging devices
     to convey the multiple activities and mission of the National Geographic
     brand and the adventure for the customer starts in this multi-sensory,
     continually changing environment
                                                                                                 Key data
                                                                                                 Format: flagship store
                                                            The Society decided that             Launched: 2008
                                                            the next stage was to create
                                                                                                 1,800 sqm
                                                                                                 10,000 products
                                                            a physical meeting place
                                                                                                 40,000 visitors per week
                                                            for existing and potential
                                                            customers, and opened this
                                                            thrilling, multisensory flagship   National Geographic Society
                                                            store that encapsulates the        through a broad range of
                                                            mission and the core values        products, services, and

                              S                             of the National Geographic
                                                            Society.
                                                                                               projects, in an environment
                                                                                               of extraordinary visual impact
                                                                                               and coherence.
                                                            THE CONCEPT                        The Store offers a vast
                              MARKET OPPORTUNITY            The National Geographic            selection of National
                              For over 122 years the        Store is a modern and              Geographic branded
                              National Geographic Society   innovative space, a unique         products, alongside a
                              has enabled the public to     platform to interact with the      selection of handmade items
                              discover the boundless        customers and to convey the        in limited edition.
                              marvels of the world about    force and the credibility of the   The furniture presents an
                              us, applying its                                                 eclectic mix in various styles
                              hallmark rigour                                                  with strongly ethnic accents
                              and quality, and                                                 and evolves over time,
                              engaging generations                                             because each element can
                              of its international                                             also be purchased. The space
                              readership.                                                      includes furthermore a Café,

36   R etail I nnovations 6                                                                                                     R etail I nnovations 6   37
N   a t i on a l         G   eog r a p h i c       -      G R E AT    BRI T AI N




                                   whose menu represents              Geographic explorers,
                                   the occasion for “travel”          authors, and photographers,
                                   into other cultures, through       and also runs free film
                                   the flavours of recipes that       screenings. The Gallery
                                              originate in the five   assigned for exhibitions          Retail is detail                 Conclusions
                                              continents of the       hosts a turnover of the           Customers can also test out      The London store has
                                              globe. The choice       most representative objects       their clothes in a special       already won several Awards.
                                              includes organic        from the various National         Testing Room, with strong        Following this store, the
                                              foods tied to           Geographic projects and           gusts of wind, sudden drops      National Geographic Society
                                              healthy dishes and      the work of the publisher’s       in temperature, and other        has opened a second one in
                                              slow-food dishes,       contributors. The space is also   extreme conditions typical of    Singapore, and the expansion
                                              with a selection        available for Corporate and       the National Geographic-type     scheme envisages new retail
                                              each month              Private Events.                   of adventure travel.             outlets on a smaller scale
                                              dedicated to a          In keeping with its mission       In the Café, the approach        (400–500 sqm) in the major
                                              specific country.       to inspire people to take         is educational: advice on        cities in Europe and Asia, and
                                              At the same time        care of the planet, National      maintaining a healthy diet,      in airports.
                                              the menu also           Geographic has built its          and information on each of       In 2010 they expect to open
                                              offers typical          flagship store with eco-          the foods and their place        20 new retail outlets, starting
                                   local fare, so as to show          friendly design elements          of origin. Extras include        with Spain, Indonesia, and
                                   their willingness to foster        and has inserted a series         encounters with schools and      India.
                                   and preserve diversity of the      of further sustainable and        families to explain what it
                                   world.                             ethical approaches in the         means to observe healthy
                                   The auditorium hosts               daily activities of the store.    eating habits.
                                   events and conferences
                                   with the renowned National                                                Key points of innovation
                                                                                                             Cultural flagship store that endorses the values of the National Geographic Society
                                                                                                             Multisensory space in continuous evolution


                                                                                                             Notes on Retail Mix
                                                                                                             Assortment: clothing, footwear, eyewear, stationery, maps, toys, watches,
                                                                                                             household furnishings, and a vast selection of National Geographic products,
                                                                                                             including its world-famous magazines, books, and DVDs, accessories, bags
                                                                                                             Services: kids area; test area for clothing items; program of events, meetings,
                                                                                                             conferences, exhibition area, gallery area
                                                                                                             Restaurant with various types of multicultural cuisine and healthy food


38   R etail I nnovations 6                                                                                                                                                  R etail I nnovations 6   39
G R E AT          B R I TA I N    -   London




       Swarovski
         Crystallized™ lounge
     A stylish and fascinating environment in which jewellery blends with design,
     culture, events, and customers are enabled to experiment with customising
                                                                                                   Key data
     their own jewellery with world-famous Swarovski crystal glass creations
                                                                                                   Format: concept jewellery store
                                                                                                   Launched: 2008
                                                                                                   4 stores (London, New York, Shanghai, Paris)
                                                                                                   300 sqm
                                                              positioning in this segment,
                                                              which it is now reinforcing by
                                                              moving into retail with the
                                                              creation of a series of highly
                                                              innovative Crystallized Lounge    elements are showcased in         the various crystals can be
                                                              flagship stores. These boast a    all their variants in the form    applied include necklaces
                                                              sophisticated and appealing       of individual components,         and bracelets in various
                                                              environment that offers a         enabling customers to             materials: silk, leather, or
                                                              broad range of opportunities      choose pieces and combine         metals. The display cases
                                                              for customers to personalise      them to create their own          include creative concepts
                              Market opportunity              their jewellery, and to apply     jewellery. Staff remain at a      from famous designers in a
                              Recent research conducted       Swarovski crystals onto           discreet distance to allow        variety of executions, such
                              in the UK has shown             various garments and other        customers to browse freely        as an exclusive tee-shirt
                              that consumers who buy          accessories.                      and experiment with the           by the Delhi-born designer
                              jewellery increasingly prefer                                     products at leisure. If anyone    Manish Arora, decorated with
                              top-quality, one-off pieces     The concept                       has a question, staff are there   figures of deities and animals
                              to cheap “disposable”           The concept behind the            to assist, otherwise visitors     composed entirely from
                              items. The British market       Crystallized store is to entice   can take as long as they          Swarovski crystals, on sale for
                              in personalised jewellery       customers to enter and            wish to peruse row after row      £125.
                              is estimated at £350–400        explore. For many adults who      of display cases, each one        The store also offers the
                              million per annum, and          venture into the store, the       containing crystal elements       chance to linger and relax
                              continues to grow. Swarovski    shimmering world that meets       of a slightly different shape,    with a coffee or glass of
                              has steadily improved and       them is like a childhood          colour, or finish.                champagne on sofas in
                              strengthened its market         dream come true: the crystal      The basic products to which       the second-floor lounge,


40   R etail I nnovations 6                                                                                                                                         R etail I nnovations 6   41
S   wa r o v s k i       -    G R E AT        BRI T AI N




                                                                                                                         Conclusions
                                  where there is also a space        the quality of the jewellery
                                                                                                                         Swarovski Crystallized
                                  devoted to exhibitions and         and crystals, by means of an
                                                                                                                         Lounge is a highly innovative
                                  customer events, often tied to     innovative use of Perspex
                                                                                                                         concept, a destination store
                                  London’s fashion scene. Due        and mirrors throughout the
                                                                                                                         that successfully presents
                                  to a partnership with London       store, whereby the display
                                                                                                                         Swarovski crystals in a
                                  Fashion Week, the store            cases housing the crystals
                                                                                                                         distinctly contemporary way.
                                  carries a display of haute-        permit customers to browse
                                                                                                                         The company’s collaborations
                                  couture items decorated with       and select them by colour
                                                                                                                         with the designer and fashion
                                  Swarovski crystals.                and shape, ready to apply
                                                                                                                         worlds give an added note
                                                                     onto their personalised
                                                                                                                         of freshness, creativity,
                                  Retail is detail                   jewellery, or to decorate some
                                                                                                                         and underline Swarowski’s
                                  The lighting of the interiors is   other object (often mobile
                                                                                                                         increasingly fashion-oriented
                                  carefully designed to highlight    phones). The choice is made
                                                                                                                         perspective.
                                                                     easier by the categorisation
                                                                     of elements according to
                                                                     themes, such as popular,          Key points of innovation
                                                                     Bohemian, avant-garde,            Opportunity for customers to personalise their purchases
                                                                                                       Concept store with events area and lounge bar
                                                                     luxury with precious metals.
                                                                     Each style is highlighted by
                                                                                                       Notes on Retail Mix
                                                                     an appropriate display to
                                                                                                       Assortment: Jewellery, Accessories
                                                                     give customers ideas for
                                                                                                       Prices: from medium to high
                                                                     their personal creations, or to
                                                                                                       Space: innovative materials that create a light show
                                                                     indicate ready-to wear items.
                                                                                                       Events: collaborations with fashion stylists and designers


42   R etail I nnovations 6                                                                                                                                   R etail I nnovations 6   43
G R E AT          B R I TA I N    -   London




           Recipease
     The challenge that Recipease has set itself is to encourage would-be cooks
     to create healthy and rapid meals and learn the pleasures of cooking,
     aided by the expert advice of the nation’s best-loved chef Jamie Oliver
                                                                                                  Key data
                                                                                                  Format: convenience experiential store
                                                                                                  2009: first store in London
                                                             consumers from simply                2010: second store in Brighton
                                                             having an interest to actually       230 sqm
                                                             doing it, particularly the under     Founded by the famous British chef Jamie Oliver
                                                             40s. The food industry needs
                                                             to convince consumers that
                                                             convenience can still be
                                                             healthy, allows them to add        neat combination of “recipe”    The well-appointed
                                                             in a touch of creativity into      and “ease”, Recipease           demonstration kitchen area
                                                             food preparation, and is not       conveys the simple formula      hosts a varied programme
                                                             too time consuming. A new          of creating dishes that are a   of events targeted at both
                                                             venture, Recipease, sees this      cinch to learn. In the store,   total beginners and seasoned
                                                             as a retail opportunity.           which covers 230 sqm,           cooks. These courses can be
                                                             Recipease is the latest food       customers are presented         booked online or in the store
                              Market opportunity             venture by British celebrity       with an array of lifestyle      itself. The “Easy to Do” dishes
                              Today, the British public      chef, Jamie Oliver. The            products such as cookbooks      prepared in 10 minutes, can
                              have adopted the idea of       concept revolves around            and kitchenware in addition     be either taken out or eaten
                              ‘convenience eating’ with      a one-stop-shop where              to food, condiments and         on the premises. A similar
                              enthusiasm. Television         consumers, whether novice          wine. This merchandise is       option is offered in the “Easy
                              programmes about cookery       or more experienced “chefs”,       premium positioned, the         to Learn” courses, featuring
                              and featuring celebrity        can cook the ingredients           products and packaging are      slightly more advanced
                              chefs suggest that people’s    they buy under the guidance        of high quality, come from      recipes. If one decides to
                              interest in food and cooking   of professionals and even          sustainable sources and all     eat in the store, these are
                              is increasing. However, the    sit and eat their creations        packaging is fully recyclable   accompanied fine wines.
                              challenge lies in converting   in-store if they wish. With its    and compostable.                It is also possible to book

44   R etail I nnovations 6                                                                                                                                       R etail I nnovations 6   45
R ec    i p e a se   - G R E AT        BRI T AI N




                              the venue for private
                              parties featuring a
                              group cooking lesson
                              and ending with a
                              communal meal in the
                                                                                                                         Conclusions
                              store.
                                                                                                                         Forthcoming plans include
                                                                                                                         opening new Recipease
                              Retail is detail
                                                                                                                         stores, and widening the
                              The interiors of the
                                                                                                                         JME brand to include new
                              stores are particularly
                                                                                                                         categories such as home
                              appealing, and are
                                                                                                                         textiles, garden, bathroom
                              styled to resemble a
                                                                                                                         and children’s furniture
                              large country kitchen,
                                                                                                                         as well as lighting. In the
                              with warm lighting
                                                                                                                         immediate future, the plan is
                              in each area, and an
                                                                                                                         to continue to improve the
                              easy-going, family ambience
                                                                                                                         customer experience, and
                              in which cleanliness is
                                                                                                                         to refine the offer, based on
                              paramount.                    and tips for the future, with
                                                                                                                         direct customer feedback.
                              The staff are extremely       the aim of increasing local
                              welcoming and trained to      community involvement, and
                              get feedback from customers   to encourage visitors to share
                                                            ideas, recipes and tips with
                                                            others.
                                                                                             Key points of innovation
                                                                                             Rapid, healthy, and sophisticated recipes for meals at an accessible price
                                                                                             Integration of product purchase, food consumption, and education


                                                                                             Notes on Retail Mix
                                                                                             Assortment: food, wine, ready-made meals, books, cooking utensils
                                                                                             Excellent price/quality ratio (£10 for a light meal for two)
                                                                                             Services: internal dining area; classes for healthy and quick cooking;
                                                                                             opportunity to hire venue for parties; team building; etc.
                                                                                             Refined but informal atmosphere
                                                                                             Events: theme-based evenings


46   R etail I nnovations 6                                                                                                                                   R etail I nnovations 6   47
INDIA            -       New   Delhi




            Graavaa
     The first Indian flagship store devoted to marble and natural stones
     created to respond to the growing needs of high-end consumers
     for a quality shopping experience

                                                                                                      Key data
                                                                                                      Format: brand store
                                                                                                      Launched: 2009 first flagship store in New Delhi
                                                                                                      450 sqm
                                       Market                      The flagship store offers a vast
                                       opportunity                 range of materials sourced
                                       Although the                from all over the world, and
                                       consumer culture in         is integrated with a design        living-rooms, kitchens, and      provided in an interactive
                                       India is undergoing         studio, along with expert          bathrooms, to give a clearer     zone, where a qualified
                                       rapid advances,             installation and product           impression of the final effect   staff supplies details on
                                       retailing itself – even     maintenance service. The           of a given project. On the       each product, with turnkey
                                       in a high-end sector        name Graavaa comes from            upper level, which is accessed   solutions and/or added value
                                       such as fine natural        the ancient Sanskrit word          via a subtly unobtrusive         services, enabling decisions
                                       building stone – is still   for “stone”. This reference to     “floating” glass staircase, a    to be made in a relaxed
                                       way behind. The birth       the traditional values of the      comprehensive presentation       atmosphere. This area boasts
                                       of Graavaa, an elegant,     materials is endorsed by the       of the huge assortment is        an interactive screen giving
                                       welcoming and               company’s logo and visual          offered, arranged in a wide      in-depth information on the
                                       specialised flagship        identity, recalling stone’s        variety of formats and hues.     entire range of available
                                       store, has been             durability as a surfacing          Customer assistance is           products, with a system of
                                greeted with enthusiasm by         material.
                                high-end customers in India.       Inside the store the display
                                                                   of the various types of
                                The concept                        natural stone follows both
                                Graavaa is a trademark of          the standard arrangement
                                the Pearl Mineral Group            on the walls and also on
                                specialising in high-quality       the floor, complemented by
                                marble and natural stones.         environments that simulate
48   R etail I nnovations 6                                                                                                                                           R etail I nnovations 6   49
G   r a ava a            -   I N DIA




                                                                                                       Conclusions
                                                                                                       Graavaa has attained a
                                                                                                       leading position in its field
                                                                                                       by offering a new way for
                                                                                                       customers to purchase
                                                                                                       natural stone products. The
                                                                                                       flagship store, the only one
                                   image rendering to simulate       of the product in its natural
                                                                                                       of its kind in the country,
                                   the final effect of the various   state. In the display areas a
                                                                                                       has received a great deal
                                   materials as applied to spaces    system of sliding units enable
                                                                                                       of media attention and has
                                   reproduced from photos            the customer to “browse”
                                                                                                       been highly successful. The
                                   provided by the customers         through the large plates of
                                                                                                       second flagship store is
                                   themselves.                       stone positioned mainly on
                                                                                                       due to open in the Punjab
                                                                     the walls, while displays
                                                                                                       region before the end of
                                                                     arranged fan-wise facilitate
                                                                                                       2010, and aims to expand
                                                                     the direct comparison of
                                                                                                       with a network of 50 stores
                                                                     different material. A test
                                                                                                       throughout the country within
                                                                     bench in this area allows
                                                                                                       the next 5 years.
                                                                     customers to view the stone
                                                                     under different lighting
                                                                     conditions.
                                                                     For each stone type, a variety         Key points of innovation
                                                                     of information is provided             An experience of luxury
                                                                     on its origin, properties,             Innovative and engaging display systems
                                                                     applications, and availability,
                                                                     illustrating Graavaa’s global          Notes on Retail Mix
                                                                     supply. The store aims                 Assortment: 150 varieties of natural stone sourced from all over the world
                                   Retail is detail                  to instruct customers to               Services: design lab, delivery, installation, and maintenance
                                   The eye-catching and              recognise the different types          Staff: highly trained personnel who closely follow the entire
                                   sophisticated design of the                                              purchasing process
                                                                     of stone, and also offers
                                                                                                            Display layout: prompts customers to interact and choose for themselves
                                   store’s façade consists of a      advice on maintenance.
                                   cage of curving steel elements
                                   inspired by the organic forms
50   R etail I nnovations 6                                                                                                                                               R etail I nnovations 6   51
I taly          -   Grandate           (Como)




        Chicco Village
     A haven for toddlers and young parents with delights ranging from
     new product lines to the Rocking-Horse Museum, with a unique medley
                                                                                                  Key data
     of products, learning opportunities, and customer facilities                                 Format: family retail area
                                                                                                  2008: launched
                                                                                                  2,000 sqm: Chicco Store
                                                                                                  1,000 sqm: play area
                                                               around a chain of mono-            250 sqm: Pic Store
                                                               brand stores and now the           200,000 annual receipts
                                                               Village heralds a new step in
                                                               the firm's brand positioning
                                                               through its chain of retail
                                                               outlets.


                                                               THE CONCEPT
                                                               The Chicco Village project
                                                               involves products, resources,
                                                               and learning material for kids
                                                               in a retail area connected
                                                               directly with the production
                              MARKET OPPORTUNITY               unit itself.                     Rocking-Horse Museum             through the building.
                              Today, products branded          This includes a Chicco           installed in a converted         Owing to its size, the Chicco
                              especially for kids are          megastore, the first Pic Store   riding-stable.                   megastore can offer a far
                              increasingly expected to         specialising in infant medical   To ensure that these functions   wider range of products than
                              provide a solid design           products, an Illy café, an       dovetail together, the firm’s    the individual high-street
                              philosophy rooted in a           ample play-area, a private       Retail Design studio’s           premises normally allow,
                              genuine passion that will help   nursery, and the                 appealingly colourful “open      and the seven main
                              parents with the absorbing                                        arcade” welcomes visitors        categories of product
                              task of helping kids grow in                                      into a complex in which each     are arranged by
                              a balanced way. For the past                                      of the spaces has its own        age-bracket, following a
                              fifty years, the Chicco brand                                     separate entrance,               transversal,
                              has fashioned its trademark                                       allowing free circulation        customer-oriented logic.
52   R etail I nnovations 6                                                                                                                                      R etail I nnovations 6   53
C   h i cco       V   i l l a ge   -   I T AL Y




                                                                                                     with the new baby.               that attracts people from
                                                                                                     Presently, there are plans       a wide catchment area.
                                                                                                     to set up pre-natal              Recently the megastore’s
                                                                                                     exercises and events focused     concept has been
                                                                                                     on the well-being of the         enhanced with a temporary
                                                                                                     mother-to-be.                    location assigned
                                The product assortment is           where the kids can play and
                                                                                                                                      especially for kindred
                                regularly updated with              amuse themselves.
                                                                                                     CONCLUSIONS                      brands with products that
                                new-arrivals, and it is possible    On the same floor is a space
                                                                                                     The Chicco Village has rapidly   tie in to the Chicco’s brand
                                to purchase discounted              that can be reserved for
                                                                                                     become a destination centre      philosophy.
                                items from the previous             birthday parties for toddlers,
                                            season’s offering       with four coloured houses
                                            in the                  that can be customised
                                            Outlet area.            with the name of the one
                                            The ample client        celebrating his/her birthday.
                                            facilities include a
                                            spacious                Retail is detail
                                            and comfortable         Chicco’s brand philosophy
                                            nursery.                is also conveyed in a special
                                            The signage             area in the shop where
                                            is astutely             patrons can mix and meet
                                            designed adding         each other, or follow free
                                            to the shopping         courses for parents on
                                experience and the general          questions of pregnancy,             Key points of innovation
                                fluidity of the complex.            breast-feeding, and how to          Range of inter-related functions tied to children’s growth
                                On the first floor is a play park   deal with returning home            Products arranged by age-bracket rather than by type


                                                                                                        Notes on Retail Mix
                                                                                                        7 Chicco Store merchandise categories: clothing, footwear, basic childcare,
                                                                                                        intensive childcare, toys, fornitures, books and colouring kits for children.
                                                                                                        Services: Baby Card, Gift Card, Personal Shoppers, birth-list



54   R etail I nnovations 6                                                                                                                                                R etail I nnovations 6   55
I T A LY        -   Milan




        Diablo Rosso Pirelli
     For its first temporary store Pirelli chose Milan – the Italian city with the most
     scooters and motorcycles – to show how a change of tyres can be a pleasant
     and positive brand experience, in line with the Group’s market positioning



                                                                                                     Key data
                                                                 surroundings of a tyre-store        Format: pop-up store
                                                                 or a mechanic’s workshop.           Launched: 27 May – 7 June 2008
                                                                 With their new project Diablo       250 sqm
                                                                 Rosso Store, Pirelli has made       6,000 visitors
                                                                 a breakthrough, radically
                                                                 changing the customer’s
                                                                 experience by creating an        The concept                        with a DJ and fashion models.
                                                                 environment characterised        During the twelve-day              The area where the actual
                                                                 by Pirelli brand features such   opening period, customers          change of tyres took place
                                                                 as technology, passion for       were able to buy a new             was situated right in the
                                                                 sports, performance and style.   set of tyres and have them         window-front so as to attract
                                                                 The idea also spotlighted the    fitted on-site, just like in a     passers-by, highlighting a
                                                                 new Diablo Rosso product, a      “normal” tyre sales outlet.        product that is usually hidden
                              MARKET OPPORTUNITY                 supersport tyre suitable both    In the evenings, special           away in the darkness of the
                              Getting a change of tyres is       for town use and for sports,     entertainment events were          garage, now transformed as
                              a vital ritual for motorcyclists   with either naked bikes or       staged (opening party, with        an “asset” worthy of being
                              – a moment of affection,           sportbikes.                      an exhibition of work by           showcased. During the tyre-
                              and also of rebirth in a                                            the young photographer             change, a Pirelli technician
                              way, a means of renovating                                          Rapdour, a community travel        was always present to answer
                              one’s bike at both                                                  evening, Diablo Rosso party,       queries about types of tyres
                              technological and                                                   Ducati party, and Superbike        and how they should be
                              performance levels.                                                 Magazine party).                   used. The store prices were
                              A change of tyres is                                                In the store itself, free drinks   aligned with the averages in
                              usually done in the                                                 were available (though no          Milan, and the service was
                              fairly uninspiring                                                  alcohol during the daytime),       provided in cooperation with
56   R etail I nnovations 6                                                                                                                                           R etail I nnovations 6   57
D   i a b l o     R      osso   P    i r e l l i   -   I T AL Y




                                                                   Italy to the “temporary” retail
                                                                   concept, and has quickly
                                                                   become a point of reference
                                                                   in the city for the type of
                                                                   consumers who likes to
                                                                   keep up with innovations.
                                                                                                                                  Conclusions
                                                                   Milan’s Corso Garibaldi is an
                                                                                                                                  During the 12 days in which
                                                                   area with a high quota of
                                                                                                                                  the store remained open it
                                                                   design studios and fashion
                                                                                                                                  registered a visitor turnover
                                                                   venues, and Pirelli exploited
                                                                                                                                  of around 6,000 people,
                                                                   the occasion to promote its
                                                                                                                                  peaking during the Diablo
                                 the well-known Milanese           own fashion lines and PZero
                                                                                                                                  Rosso inauguration party,
                                 operator Pneusmania.              watches – brand extensions
                                                                                                                                  which was attended by the
                                 Motorcyclists were informed       created to enhance the
                                                                                                                                  company’s top management.
                                 of the limited-period offer       concept of “Pirelli Style”.
                                                                                                                                  The principal goal achieved
                                 via email, billboards, internet   The project by the MP Group
                                                                                                                                  was greater visibility, and
                                 banners, and through the          also included a small red
                                                                                                                                  excellent coverage in the
                                 press.                            salon in postmodern style to
                                                                                                                                  media.
                                                                   foster socialising among the
                                 Retail is detail                  visitors – musical aperitifs
                                 Enhancing the project was         and conversation being two
                                 the choice of location, a         of the features that Pirelli
                                 space dedicated to Sidecar        identified with the motorcycle
                                 Events, which first introduced    community.
                                                                                                     Key points of innovation
                                                                                                     To highlight a product and insert them in an appealing, trendy ambience


                                                                                                     Notes on Retail Mix
                                                                                                     Prices aligned to local averages
                                                                                                     Complete range of Diablo tyres, clothing, and accessories
                                                                                                     Technical assistance for tyre-changing
                                                                                                     Staff: 2 mechanics, 1 technician, 1 administration, 2 fashion models, 1 DJ
                                                                                                     (for the evening)
                                                                                                     Target: owners of naked bikes and supersport motorbikes residing in Milan




58   R etail I nnovations 6                                                                                                                                          R etail I nnovations 6   59
I taly          -   Livorno




               Sconto Maxi
     A new concept of supermarket which makes grocery shopping quick and easy,
     through a dual approach involving a general food store where customers scan
                                                                                                 Key data
     their own purchases with a bar-code reader (or order online), and find the goods            Format: neighbourhood supermarket
     ready for them when they reach the check-out with their trolley of fresh goods              Launched: 2008
                                                                                                 250 sqm: total area of sales space
                                                                                                 900 sqm: warehouse space
                                                              assortment of goods in a           2,700 grocery items
                                                              small and manageable space,
                                                                                                 8 staff (2 part-time)
                                                                                                 2009: 3,5 million Euros turnover
                                                              customers are fully satisfied,
                                                              while the retailer avoids the
                                                              restrictions imposed by the
                                                                                                                               In this way the assortment
                                                              Italian law on stores of over
                                                                                                                               of 2,700 items takes up a
                                                              300 sqm.
                                                                                                                               mere 100 square metres of
                                                                                                                               floorspace, instead of the
                                                              The concept                                                      usual 1,300 required for a
                                                              Conceived by an independent                                      standard supermarket.
                                                              entrepreneur, Sconto Maxi                                        The order method employs
                                                              is the first supermarket in                                      the classic self-scanning
                                                              Europe to launch a system of                                     system: the product on
                                                              purchasing that differentiates                                   display remains on the
                                                              between general groceries
                              MARKET OPPORTUNITY                                               and fresh food.                 shelf, and is simply scanned
                              In today’s cities, time and                                      At the entrance the customer    with the hand-held optical
                              transit between places                                           takes an optical reader that    reader, which records the
                              are critical factors in the                                      makes an ongoing tally of the   price and quantity.
                              individual’s daily schedule,                                     groceries, without needing      The bar-code reader
                              so any new ideas for                                             to put them in the trolley,     displays the price of the
                              simplifying and speeding up                                      because the products on the     desired item, along with the
                              the job of buying groceries                                      shelves are only for display    subtotal of the purchases
                              are bound to be a success.                                       purposes (usually two for       made so far. At the end of
                              If, as in the case of Sconto                                     each product to ensure visual   the grocery area is a row
                              Maxi, a store provides a wide                                    impact).                        of consoles where the
60   R etail I nnovations 6                                                                                                                                   R etail I nnovations 6   61
S   conto          M     a x i     -   I T AL Y




                                                                                                          items), and leader brands.
                                                                                                          Retail is detail                  Conclusions
                                                                                                          This system avoids altogether     Thanks to the simple, speedy
                                                                                                          the break of restocking           and innovative purchase
                                                                                                          shelves, due to the logistics     procedures and the excellent
                                                                                                          of the sales point. In the case   price/quality ratio, even
                                      customer plugs in the reader      The other categories are          of a short wait for the arrival   though the supermarket
                                      and checks his final order and    all self-service, fruit and       of the groceries, there is a      is located in the outskirts
                                      can make                          vegetables are chosen and         special area appointed with       of Livorno and involves
                                      last-minute changes.              weighed separately on             vending machines distributing     comparatively little advertising
                                      Once the order is confirmed,      the available scales.             snacks and hot beverages.         outlay, its fame has spread
                                      it is relayed to the warehouse,   In general, by the time the       Alternatively, customers can      quickly by word of mouth.
                                      where a team assembles            customer has picked his fresh     purchase online and collect       The turnover for the first year
                                      the purchases into bags,          goods the warehouse team          their shopping from the           reached 3.5 million Euros,
                                                 using software         has finished making up the        store during closing hours or     and is expected to grow
                                                 that automatically     bags of groceries and has         during the lunch break. One       also thanks to the increase
                                                 assigns separate       sent them to the check-out,       important economic detail         in online sales with in-store
                                                 bags for the           where the customer is billed      not to be overlooked is the       collection.
                                                 food goods and         for both the groceries and the    drastic reduction in theft,
                                                 toiletries, etc.       fresh food together.              which stands at around 3%
                                                 The customer           The aggressive pricing is         in retail turnover in Italy.
                                                 meanwhile              made possible by an alliance
                                                 proceeds to the        with a national purchase                Key points of innovation
                                                 next area, where he    group, and follows a policy of          Swifter and more convenient shopping: wide assortment in small sales area
                                                 can take a trolley     little advertising and special          Flexible shopping: standard, or online with collection at the store
                                                 and buy fresh food.    offers every day, contrary to
                                                                                                                Notes on Retail Mix
                                      The only department that          the general trend.
                                                                                                                Compact display layout
                                      offers over-the-counter           The assortment is simplified,
                                                                                                                Essential assortment for each category: first price, private label (150 items),
                                      services is the butcher’s,        with three prices brackets
                                                                                                                and leader brands.
                                      which is run by an outside        for each category of item:              EDLP (every day low price) policy
                                      partner company.                  first price, private label (150         Services: online ordering, with collection at the store; restoration area

62   R etail I nnovations 6                                                                                                                                                      R etail I nnovations 6   63
I T A LY        -   Bologna




     Spazio Ambasciatori
     Food as culture and culture as food:
     a retail area strong in social interaction, deep in the heart                              Key data
     of Bologna’s historic downtown                                                             Format: books and quality food concept store
                                                                                                Launched: December 2008
                                                                                                1,500 sqm: Coop Bookstore 70%; Eataly 30%
                                                                                                140,000 books; 66,000 titles
                                                                                                First year
                                                            involvement in historic             - 850,000 visits
                                                            downtowns, which have seen          - 170,000 book receipts
                                                            a steady dwindling of cultural      - 84,000 food receipts
                                                            events and shops. The present       - 500 events
                                                            situation therefore marks an        Key data of Partners
                                                            interesting opportunity for         20 Coop Bookstore in Italy
                                                            retailers, who are now in a         5 Eataly outlets worldwide
                                                            position to open stores in
                                                            the city centre, in partnership
                                                                                              years. Their scheme involves   cultural events scheduled
                                                            with local authorities in
                                                                                              the winning combination of     throughout the day: the
                                                            urban renewal schemes. In
                                                                                              a Librerie.Coop bookstore      venue opens at 8 a.m.
                              MARKET OPPORTUNITY            the present case, the Coop
                                                                                              and the internationally        (10 am on Sundays) and
                              In many cities up and         Adriatica won its bid for the
                                                                                              acknowledged gourmet food      closes at midnight. The
                              down the Italian peninsula,   rehabilitation of an important
                                                                                              retailer Eataly, which has     street-level area is assigned
                              the public has expressed      historic building in Bologna
                                                                                              rapidly established a new      to the more on-the-run
                              a growing need for more       that had stood empty for
                                                                                              benchmark for high-level       services and offers an area
                                                                                              gastronomy.                    for meetings devoted to
                                                                                                                             literature and the arts,
                                                                                              The concept                    plus a combined snackbar
                                                                                              Spreading over a space of      and pastry-shop, “Caffè di
                                                                                              some 1,500 square metres       Eataly”.
                                                                                              on three storeys, the Spazio   The spaces upstairs host
                                                                                              Ambasciatori offers a          books on travel and
                                                                                              combination of food, books,    exploration, while the
                                                                                              and socialising around         nearby “Trattoria di
64   R etail I nnovations 6                                                                                                                                  R etail I nnovations 6   65
S   pa z i o      A   m b a sc i a to r i      -    I T AL Y




                                Eataly” offers a variety of         appointments and cultural
                                simple traditional Italian          events focuses mainly on
                                menus developed in close            book-presentations and
                                collaboration with the              gourmet sessions held by
                                authoritative Associazione          renowned writers and chefs,       the 14th, 18th, and 19th           Conclusions
                                Slow Food organisation.             but also promotes concerts,       centuries), which the modern       The Spazio Ambasciatori
                                On the top storey, an area for      kids activities, and innovative   installations have managed         project has successfully
                                         books on the natural       ideas like the “Librai per        to integrate, such as the          tackled the classical type of
                                         sciences alongside         caso” event, in which people      open-backed shelving that          co-retailing: by integrating
                                         the children’s books       from diverse occupations          reveals the rough original         on all three floors the dual
                                         section is installed       (journalists, businessmen,        walls behind, while the            offering of food and culture,
                                         within the “Osteria        or professionals) with a          modern lights in the cafeteria     the customer’s overall
                                         del vino e della birra”,   common passion for books          have a handcrafted appeal.         shopping experience is
                                         a pub/winery run           and reading are invited to        Similarly, the chairs are in the   notably enhanced, while
                                         by Eataly, where in        share their notion of the ideal   classic Italian trattoria style,   favouring social exchange
                                         addition to stopping       book collection.                  but made from aluminium.           and also impulse purchases.
                                         for a bite to eat,                                           Another distinctive feature of     The triumph of the
                                         customers can              Retail is Detail                  the centre is the skilled staff,   enterprise’s first year is the
                                         purchase a selection       The innovative project has        whose capable approach             well-earned reward for this
                                         of beers and wines.        been devised by the Retail        to assisting customers             adventurous multi-target and
                                A large skylight affords an         Design studio.                    comes from special training        “situationist” concept store,
                                unusual view over the old           The building in which the         programmes held by the             which has attracted a cross-
                                buildings that grace Bologna’s      Spazio Ambasciatori is            Coop School and Eataly.            section of the public in terms
                                superb historic city centre.        berthed boasts numerous                                              of both age and occasion for
                                The Spazio Ambasciatori’s           traces of its long ancestry                                          visiting.
                                daily calendar of                   (including details from
                                                                                                            Key points of innovation
                                                                                                            Food and books: high quality, low snobbery
                                                                                                            Strong in-store integration between food and books
                                                                                                            Differentiated food offering for diverse occasion for the visit

                                                                                                            Notes on Retail Mix
                                                                                                            Product assortment: books, stationery, traditional italian gastronomic products,
                                                                                                            high quality food
                                                                                                            Catering variety: cafeteria, trattoria, pub
                                                                                                            Staff trained in special schools

66   R etail I nnovations 6                                                                                                                                                   R etail I nnovations 6   67
SINGAPORE




            Action City
     How to invent, launch, and keep new intergenerational cult-objects
     appealing: a concept store with a story-telling staff
     and social media integration

                                                                                                    Key data
                                                                                                    Format: concept store for toys and cult-objects
                                                               stimulates purchasers through        Launched: 2000
                                                                                                    16 stores
                                                               a lively and inviting shopping
                                                               experience that works at
                                                               several levels.

                                                                                                  to an innovative design          object, suggesting other ways
                                                               The concept
                                                                                                  team it has created gadgets      to enjoy it to the full, such as
                                                               Big Box International is
                                                                                                  that have become authentic       using one’s sense of smell or
                                                               an integrated group that
                                                                                                  cult-objects among both          touch.
                                                               operates in the Asian market
                                                                                                  youngsters and adults.           Additional presentation
                              Market opportunity               in the toys and games sector
                                                                                                  One particularly successful      support for the products
                              Today’s retail outlets devoted   with interrelated activities
                                                                                                  gadget is the “Breadou”,         comes in the form of
                              to games-gadgets-gifts are       that include the development
                                                                                                  a line stress-relievers for      sophisticated videos shown
                              often disorderly, jumbled and    of new products, bulk
                                                                                                  all ages in the form of          to customers, but key input
                              unattractive, whereas the        trading, and direct retail. With
                                                                                                  confectionary (bread-rolls,      is offered by the store
                              expectations of the customers    Action City, the group has
                                                                                                  croissants, doughnuts and
                              in this type of product are      successfully created a strong
                                                                                                  so on), made from NASA-
                              becoming increasingly            brand ID around the concept
                                                                                                  developed memory rubber
                              sophisticated. The Big Box       of play that involves diverse
                                                                                                  foam, and sold in displays
                              International group with         categories of product: thanks
                                                                                                  that resemble those of a
                              their Action City concept
                                                                                                  typical bakery or cake-shop.
                              has taken the lead
                                                                                                  In each case a wobbler label
                              with its carefully
                                                                                                  fixed to the shelves or the
                              gauged offering
                                                                                                  product explains some of the
                              that attracts and
                                                                                                  less-obvious properties of the

68   R etail I nnovations 6                                                                                                                                           R etail I nnovations 6   69
A   ct i on       C   i ty   -   S I N G AP O R E




                                  personnel, who are trained       Conclusions
                                  to wow the public with their     The results are substantial –     are plans to reach another
                                  product presentations.           Breadou alone sells around        20 in the coming five years
                                                                   10,000 units per month, and       (including Dubai, China,

                                  Retail is detail                 the online fan club has hit the   India, Philippines, Thailand,

                                  Besides its strategy of widely   40,000 mark.                      Indonesia, South Korea)

                                  targeted advertising, Action     The group’s international         through franchising

                                  City is present on all the       sales has expanded to cover       and direct retail outlets.

                                  main social networks on the      10 countries so far, and there
                                  web, and maintains close
                                  interaction with users and
                                  with its growing fan-base,                                                                         Key points of innovation
                                  which has spawned                                                                                  Products highlighted in-store through trained
                                  numerous related blogs.                                                                            storytelling staff
                                  Another way that fans                                                                              Innovative toys styled on current trends and daily
                                  can meet up and share                                                                              situations
                                  the fun is through the                                                                             Strong interaction with social media and creation
                                  many exhibitions and                                                                               of online fan-base
                                  events, such as the
                                  Singapore Toy & Comic                                                                              Notes on Retail Mix
                                  Convention, which                                                                                  Ample assortment with innovative products
                                                                                                                                     In-store information with wobbler labels and videos
                                  besides generating
                                                                                                                                     Enthusiastic staff dressed in “play-suits” in line
                                  commercial contracts with
                                                                                                                                     with brand ID
                                  other operators, have become
                                  one of the leading attractions
                                  for end-users.




70   R etail I nnovations 6                                                                                                                                          R etail I nnovations 6   71
SINGAPORE




            Food Republic
     The classic mall food court revamped: Food Republic offers a variety of spa-
                                                                                               arranged by theme, followed    with art-objects that can be
     ces each with a distinctive identity but integrated within a formula that offers
                                                                                               by the demos of the food       handled and “felt” by the
     a multi-sensory experience of high-quality eating, and whose format                       being prepared, which are      diners. As for the elimination
     can be applied to diverse locations                                                       then served up with a dash     of unwanted smells and
                                                                                               of showmanship. Tactile        noise, Food Republic has
                                                                                               input comes in the form of     deployed state-of-the-artir air
                                                              lack of character, the déja-vu
                                                                                               the fittings, which are made   purification plants that extract
                                                              menus, and the generally
                                                                                               with different material for    cooking smells but leave the
                                                              mediocre fare proposed.
                                                                                               each dining area. The menus    aromas and sounds of the
                                                              Food Republic has therefore
                                                                                               show a touch of creative       food being prepared in each
                                                              decided to launch a new
                                                                                               pizzazz with 3D graphics,      area.
                                                              concept of food court that
                                                                                               and each table is decked
                                                              aims higher and offers a more
                                                              attentive identity, closer to
                                                              that of the restaurant.

                                                                                                Key data
                                                              The concept
                                                                                                Format: food court
                              Market opportunity              Each separate eatery or stall
                                                                                                Launched: 2005
                              The type of food court found    within the food atrium has
                                                                                                33 food courts (China, Singapore, Malaysia, Hong Kong)
                              in most shopping malls          its own unique theme, while       From 1,400 to 3,000 sqm
                              around the world, including     at the same time echoing
                              Asia, usually comprises a set   the integrated identity of the
                              of specialised units which      concept as a whole: from
                              together offer wide variety     the display of food to the
                              of foods and ethnic cuisines.   type of tableware, from the
                              Until now, customers have       furnishings to the staff and
                              appreciated the convenience,    their uniforms.
                              speed, and simplicity at        The aim of the concept is to
                              affordable prices, but there    provide an all-round package
                              is a rising number of people    of sensory stimuli, starting
                              who are dissatisfied with the   with the eye-catching décor

72   R etail I nnovations 6                                                                                                                                      R etail I nnovations 6   73
F   oo d      R   e p u b l i c   -   S I N G AP O R E




                                                                       Retail is detail
                                                                       Three huge LCD
                                                                       screens broadcast
                                                                       in-house infotainment                                     Conclusions
                                                                       programmes, while at                                      Despite the financial crisis,
                                                                       every corner touch-                                       in 2009 Food Republic’s
                                                                       screen monitors supply                                    turnover grew by 15%, and
                                                                       nutritional data and                                      the chain expects to have
                                                                       tips on matching food                                     39 locations by the end of
                                                                       with beverages.                                           2010, continuing to vary
                                                                       In one location, an                                       its format by adapting it to
                                                                       experiment is under                                       each new location, such as
                                                                       way with an electric                                      the spectacular Food Opera,

                                And then there is the taste     food-stall driven by a hostess,                                  which recently opened in

                                factor: Food Republic           who serves chilled drinks                                        Singapore.

                                pledges to observe the          directly at the tables. Overall
                                highest standards and quality   the concept provides a
                                controls, whereby all food      customer-oriented service
                                is tested every week for        with friendly personnel,
                                excellence.                     who are also trained in
                                                                the aesthetics of food            Key points of innovation
                                                                presentation, and can offer       Top-quality food court with a strong integrated identity
                                                                creative advice on the menus.     Versatile format that adapts to the specifics of each location


                                                                                                  Notes on Retail Mix
                                                                                                  Broad choice of styles of convenience dining (fish gourmet, Japanese, Korean…)
                                                                                                  Multisensory ambience and stylistic consistency, from the décor to the staff uniforms
                                                                                                  Customer-oriented service with intensive staff training programmes
                                                                                                  Electric beverage cart driven by hostess
                                                                                                  Events: competitions between operators, with journalists as judges, which generates
                                                                                                  wide media coverage and articles that the operators can use for in-store authentication
                                                                                                  Communication: in-house TV infotainment programmes, and touch-screen info-points
                                                                                                  giving food tips (matching drinks/food, nutritional values, etc.)


74   R etail I nnovations 6                                                                                                                                        R etail I nnovations 6   75
S PA I N




            Tous
     A new concept of a jewellery store that combines luxury with fast-fashion
     in a modern and upbeat environment that offers a strong wow factor
                                                                                                   Key data
     and a multi-channel shopping experience                                                       Format: jewellery store
                                                                                                   Launched: 2009
                                                                                                   150 sqm


                                                                                                   Data on Tous
                                                                                                   Launched: 1920
                                                                                                   375 sales outlets, of which 98 are shops-in-shop
                                                                    trend by reinventing
                                                                                                   2008: 300 millions euro turnover
                                                                    the traditional idea
                                                                    of jewellery and the
                                                                                                 the chain launches 30 new      more feminine and vintage,
                                                                    jewellery store.
                                                                                                 collections each year.         and is divided into four zones
                                                                                                 In 2009 Tous created a new     according to the products
                                                                    The concept
                                                                                                 concept store which, taking    offered, with an easily
                                                                    The Tous chain dates
                                                                                                 its cue from the identity of   navigated internal layout and
                                                                    back to 1920, and today
                                                                                                 the preceding format, aims     versatile display systems by
                                                                    boasts 375 outlets (of
                                                                                                 to improve the shopping        which the shelving doubles
                                                                    which 98 are shop-in-
                                                                                                 experience for the customer    up as counters for showing
                                                                    shops) in 42 different
                                                                                                 by offering broader service.   products when the store is
                                                               countries. The assortment
                                                                                                 Covering 150 sqm, the new      crowded.
                                                               proposed is very wide in
                                                                                                 store has a revamped look,
                              Market opportunity               scope so as to embrace a
                              Recently the jewellery market    variety of different target
                              has seen a rapid rise in the     groups, with a strong accent
                              demand for a format based        on “inspirational style”, which
                              on the concept of fashion-       proposes fashion-jewellery at
                              jewellery and accessible         accessible prices. The chain’s
                              luxury. With its new concept     success was cemented
                              store Tous, the Jewelery         further with the introduction
                              Company has found an             to this sector of the concept
                              effective way to tap into this   of fast-fashion, and currently
76   R etail I nnovations 6                                                                                                                                      R etail I nnovations 6   77
T   o u s    -    S PAI N




                                                                                                 including repairs to jewellery,
                                                                                                 intensive training for the
                                                                                                 personnel, which is accessed
                                                                                                 via an online “mystery
                                                                                                 shopper”. Also provided
                                                                                                 online is a full training
                                                                                                 schedule for the sales staff.
                                                                                                 With this new concept store,
                                                                                                 Tous has endorsed its brand
                                                                                                 identity, completing the
                                                                                                 atmosphere generated by
                              The spacious entrance foyer      to enable a closer                the layout and display with
                              accommodates all the silver      examination of the detailing.     Tous fragrances and Tous
                              and costume jewellery,           Another zone is delegated         music, ensuring a fluid and
                              displayed in a way to foster     for accessories, a category       homogeneous ambience.             and in 2010 expects to open
                              customer interaction, thanks     that Tous had expanded to                                           another 57 stores, many of
                              to the affordable price          include sunglasses, key-cases,    Conclusions                       which will adopt the new
                              shown with attractive clarity;   luggage, handbags, perfumes,      Tous is continuing its plans      format, which has been
                              owing to its layout, this area   objects for the home, and         for international expansion,      convincingly successful.
                              encourages customers to          also sports items. Lastly, the
                                        move with ease,        zone at the back of the store
                                        choose their items     is assigned for more special
                                        themselves, and        purchases and for the best               Key points of innovation
                                        move on toward         clients, who are greeted with            A “liquid” jewellery store: multi-target, with a range of purchases
                                                                                                        Transfer of the fast-fashion concept to the jewellery category
                                        the checkout, and      a cup of coffee or a glass of
                                        hence requires         champagne, so as to render
                                                                                                        Notes on Retail Mix
                                        no staff. A second     the sales operation more
                                                                                                        Assortment: ample, deep and targeting various types of shopper, from
                                        section is reserved    empathic.
                                                                                                        classic luxury to accessible luxury
                                        for more expensive
                                                                                                        Fast-fashion approach, with the launch of 30 new collections each year
                                        items made of          Retail is detail                         Services: specialisation in jewellery repair
                                        gold and precious      One of the primary concerns              Empathic, customer-oriented staff
                                        stones, displayed      for Tous continues to be                 Convenient layout with areas the prompt purchases on the move
                                        in elaborate           customer satisfaction. For this          Displays devised to make products more accessible
                                        showcases              reason the company offers                Speciality Tous fragrances and music (brand ID)
                                        provided with          exceptional service both
                                        magnifying glasses     during and after the sale,
78   R etail I nnovations 6                                                                                                                                             R etail I nnovations 6   79
S PA I N          -      Barcelona




            Danone Store
     For its first brand store, Danone returns to its Catalan origins and creates a space
     dedicated to its consumers to recount its history and the constant innovations
     of the product, to promote trust in the brand, to illustrate the beneficial properties
     of Danone products and encourage healthy eating and living habits


                                                                the city where the company
                                                                started up in 1919. In the
                                                                                                    Key data
                                                                retail area, alongside its
                                                                                                    Format: brand store
                                                                leading products, Danone            Launched: 2009
                                                                recounts the history of its         340 sqm
                                                                unstinting commitment to
                                                                improvement with a section
                                                                of information regarding diet
                                                                and healthy eating, two of the   lettering. The style is futuristic   with a good price/quality
                                Market opportunity              company’s key themes in the      throughout and the decor             ratio. To the left lies the
                                These days, major brands are    past few years.                  follows the brand’s hallmark         brand museum dominated
                                responding to the greater                                        white-and-blue colour                by one of the original old
                                need for direct physical        The concept                      scheme. The 340 sqm of               delivery vans used in the old
                                contact with consumers as a     The Danone brand store           floorspace is divided into five      days, where customers can
                                means of involving them and     faces on to the Diagonal,        distinct areas. At the entrance      browse and purchase historic
                                listening to them, trying out   one of Barcelona’s strategic     is a yogurt bar, a tasting area      Danone adverts and signs. In
                                new products and providing      thoroughfares, with a lively     where customers can mix              the Yogurt Museum, thanks
                                an all-round vision of the      frontage dominated by            and match different products         to a bank of interactive
                                brand’s values. For its own     the company logo in giant        with an ample choice of              displays visitors can have
                                response                                                         toppings. Nearby is the              fun exploring the history of
                                Danone has                                                       snackbar realised in tandem          yogurt and Danone’s own
                                decided to                                                       with a Spanish partner, where        story, with its fundamental
                                open its first                                                   the menu is attentive to             policies of health, R&D, and
                                brand store                                                      nutritional values and offers        communication, following the
                                in Barcelona,                                                    certain unusual proposals            history of the brand through

80   R etail I nnovations 6                                                                                                                                           R etail I nnovations 6   81
D   a none          S    to r e   -   S PAI N




                                  the more famous Danone
                                  advertising campaigns down
                                  through the decades.


                                  Retail is detail
                                  This innovative space offers
                                  customers the opportunity
                                  to taste different types
                                  of yogurt and also frozen
                                  yogurt (also take-away),
                                  including several exclusive     with tips and guidelines for
                                                                                                     With this outlet Danone has
                                                varieties that    a healthy diet in a retail area
                                                                                                     followed a trend started by
                                                have not yet      that seamlessly unites the
                                                                                                     other world-famous brand
                                                been put on the   sleek interiors and modern
                                                                                                     names that have opened
                                                retail circuit.   graphics with selected objects
                                                                                                     specific stores to endorse
                                                Two conference    that transmit the values and
                                                                                                     their own products and foster
                                                rooms hosts       history of the Danone group.
                                                                                                     greater customer interest.
                                                seminars on
                                                nutrition and     Conclusions
                                                healthy eating    Danone may consider the
                                                habits. The       idea of opening other stores
                                                personnel in      after this trial run inaugurated
                                  the customer care section is    in April 2009 to coincide               Key points of innovation
                                  composed of nutrition experts   with the company’s ninetieth            Storytelling and brand edutainment for customers
                                  who can provide visitors        anniversary celebrations.               Exclusive chance to try out new yogurt products


                                                                                                          Notes on Retail Mix
                                                                                                          Environment: high-tech styling blended with elements of the Danone tradition
                                                                                                          5 separate areas: yogurt bar; restaurant; merchandising corner; interactive
                                                                                                          museum; auditorium for seminars
                                                                                                          19 different yogurt toppings
                                                                                                          CRM area for interaction with customers
                                                                                                          Services: workshops offering guidelines for healthy eating, and food education




82   R etail I nnovations 6                                                                                                                                             R etail I nnovations 6   83
SWEDEN




        Laxomat
     An automated delicatessen based on RFID technology that addresses
     the growing needs for the growing demand for flexibility in consumption
     and purchasing


                                                                                                    Key data
                                                                                                    Format: automated delicatessen
                                                                  restaurateur, set up his
                                                                                                    Launched: 2005
                                                                  business in 1996 specialising
                                                                                                    4 outlets
                                                                  in local dishes based on
                                                                                                    27 sqm
                                                                  salmon and vegetables.
                                                                                                    Open 24/7
                                                                  When his customers urged
                                                                  him for longer opening-hours,
                                                                  Lagnell took advice from
                                                                  an outside consultancy and      accessible at all hours, and      kitchen area. The purchasing

                                                                  decided to open a parallel      offering an assortment of         procedure is simple: the

                                                                  business – integrated with      takeaway dishes.                  customer runs a credit card

                                                                  the restaurant, however –       The Laxomat is situated near      in the slot by the entrance,

                                                                  that could fulfil customer      the restaurant proper, so as to   types in a PIN number,
                              Market opportunity
                                                                  requirements around the         provide integrated activities     and the door opens. Once
                              Consumers are expecting
                                                                  clock.                          with an active service            inside, the customer picks
                              ever greater flexibility in their
                                                                  The solution was an entirely    24/7, as well as simplify         up a shopping bag, chooses
                              shopping, starting with store
                                                                  automated self-service food     the operating logistics. All      among a selection of dishes
                              opening hours.
                                                                  store open 24 hours a day,      products are labelled with an     and drinks, then places the
                              To address this demand by
                                                                  running on RFID technology.     RFID tag created onsite in the    bag on a counter where the
                              extending shopping hours
                                                                                                                                    RFID interrogator reads the
                              entails a proportionate
                                                                                                                                    tags, showing the all the
                              increase in running costs,          THE concept
                                                                                                                                    items it contains on a screen.
                              most of which derives from          2005 saw the launch of
                                                                                                                                    The customer then inserts
                              an increase in staff.               the first Laxomat outlet, a
                                                                                                                                    his credit card and signs for
                              Christer Lagnell, an                fully automated store with
                                                                                                                                    the purchase on the screen,
                              independent Swedish                 a footprint of only 27 sqm,
                                                                                                                                    and when he takes the

84   R etail I nnovations 6                                                                                                                                          R etail I nnovations 6   85
L   a x om a t           -   SWEDEN




                                                                                                      Conclusions
                                                                                                      Given the concept’s success,
                                                                                                      three new centres have been
                                                                                                      opened. At present the chain
                                                                                                      totals 350,000 purchase
                                                                                                      receipts per year. As the
                                                                                                      cost of the RFID food-tags

                                   receipt, the exit door opens                                       is steadily decreasing, and
                                                                   Retail is detail
                                   automatically and he can now                                       the demand for readymade
                                                                   The name Laxomat is a
                                   leave.                                                             dishes at any hour is on the
                                                                   combination of lax, meaning
                                   If the customer has made no                                        rise, the concept promises
                                                                   salmon in Swedish, and
                                   purchases, he still uses his                                       to offer some interesting
                                                                   automat. Some of the
                                            credit card to enter                                      development margins in the
                                                                   best-selling dishes are local
                                            and leave, and the                                        near future.
                                                                   salmon-based specialities.
                                            registration of his    The Laxomat’s proximity to
                                            card details is a      the restaurant ensures greater
                                            deterrent to theft.    surveillance and security at all
                                            To ensure customer     times, day and night.                                     Key points of innovation
                                            safety, the interior                                                             Fully automated store open 24/7 using RFID technology
                                            of the store is also                                                             Integrated with nearby restaurant
                                            covered by CCTV
                                            connected to the                                                                 Notes on Retail Mix
                                            web.                                                                             Assortment: readymade hot and cold dishes; local specialities
                                                                                                                             based on salmon
                                                                                                                             No staff required
                                                                                                                             Local touch: dishes based on salmon (the national speciality)




86   R etail I nnovations 6                                                                                                                                               R etail I nnovations 6   87
SWITZERLAND                     -   Bern




        Westside
     A multifunction urban centre that combines a large park with residential units,
                                                                                                   Key data
     retail mall, leisure amenities, and tertiary sector activities set                            Format: multifunctional complex
     within a complex of low-impact design                                                         Launched: 2008
                                                                                                   141,500 sqm, 23,500 sqm of shopping space,
                                                                                                   3,000 sqm of gastronomy and food courts,
                                                                                                   10,000 sqm of swimming-pool and spa facilities
                                                                business facilities. When that     55 stores, 10 eateries/bars
                                                                mixture achieves a positive        95 apartments, and 22 rooms for senior citizen care
                                                                balance, such zones inject         144 hotel rooms
                                                                new life into the urban fabric
                                                                                                   4.2 million visitors in the first year
                                                                                                   350 euro million investment
                                                                and offer significant sources
                                                                                                   2008: 125 millions euro turnover
                                                                of investment.


                                                                The concept                      as a pole of attraction alive   Almost half the total area
                                                                The concept                      both day and night rather       of the complex is covered
                              Market opportunity                Westside lies at the gates of    than offer another hulking      with a dense park designed
                              Urban development in today’s      the city of Bern, the Swiss      shopping complex. Instead,      to Swiss standards, and the
                              cities requires the creation      capital, and its catchment       Westside provides a place       leisure activities proposed
                              of multifunctional zones in       radius of 45 minutes’ drive      where people live or meet       include a multiplex cinema,
                              which housing is integrated       comprises around 1.2 million     for work, and above all, a      a swimming-pool with
                              with modern retail areas that     people, a significantly high     place to spend one’s free       health spa, and a food court
                              offer a mixture of commerce,      figure for Switzerland.          time in a pleasant and          with 10 eateries. The retail
                              leisure amenities, culture, and   The complex was designed         stimulating environment.        hub comprises 55 stores,




88   R etail I nnovations 6                                                                                                                                     R etail I nnovations 6   89
W    ests i d e          -   S WI T Z E RLA N D



                                                                                                  offer panoramic views over
                                                                                                  the landscape outside, both
                                                                                                  natural and manmade. The
                                                                                                  site of the Westside complex is
                                                                                                  also significant – sitting astride
                                                                                                  a motorway, it is highly visible
                                                                                                  and also easy to reach for
                                                                                                  people travelling to and from
                                                                                                  Bern by car. The complex’s
                                                                                                  popularity rose recently when

                                  including H&M, Globus, Peak     The façade of the shopping      it was chosen as the location

                                  Performance, Marc O’Polo,       centre is made of timber        for an opera broadcast live on

                                  and Levi’s. Westside has        obtained from sustainable       television.

                                  also become a destination       production sources, and the
                                  for business meetings and       complex as a whole employs      Conclusions
                                  seminars, thanks to the         cutting-edge energy-saving      Westside has become a crucial
                                  related infrastructure and      technology. Lying a mere ten    reference point for the city
                                  hotel facilities. With this     minutes from the city centre,   of Bern, and attracts people
                                  formula Westside offers a       Westside is well served by      from a wide catchment area           Key points of innovation
                                  multipurpose pole targeted at   public transport, thereby       thanks to its high degree of         Harmonising of the complex’s different
                                                                                                  innovation and to the frequent       functions
                                  a wide cross-section of end-    greatly reducing the use of
                                                                                                  events that animate the centre.      Balance of natural and manmade
                                  user – there is also a senior   private vehicles and curbing
                                                                                                                                       Design with high level
                                                                  subsequent pollution.           It registered over 4 million
                                                                                                                                       of eco-compatibility
                                                                                                  visitors in the first year of

                                                                  Retail is detail                opening.
                                                                                                                                       Notes on Retail Mix
                                                                  Designed by the renowned
                                                                                                                                       Offering: residential facilities, leisure
                                                                  architect Daniel Libeskind,                                          amenities, retail, hotel
                                                                  Westside is conceived as                                             Multi-target urban mix: large park,
                                                                  a harmonious integration                                             homes for senior citizens,
                                                                  of natural elements and                                              business facilities
                                                                  modern forms, based on                                               Location with low-impact
                                                                  a combination of cubic                                               on the environment: public transport
                                                                  components. Numerous                                                 and direct access from the motorway
                                  citizen residential facility.   skylights provide ample
                                  One of the project’s key        natural illumination through
                                  concepts was respect for the    all the pedestrian causeways,
                                  environment.                    and large glazed sections
90   R etail I nnovations 6                                                                                                                                    R etail I nnovations 6   91
UNITED               ARAB      E M I R AT E S            -   Dubai




            Ajmal
     A new concept of ethnic chic offering a modern presentation
     of traditional Arab perfumes, while conquering a Western clientele                              Key data
     through its integrated shopping experience                                                      Format: perfumery
                                                                                                     Launched: July 2009
                                                                                                     120 sqm
                                                                                                     Assortment: perfumes, oils, oudh-based scents
                                                                  while also expanding at            100% private brand
                                                                                                     100 stores already open, another 100 scheduled
                                                                  international level. To do
                                                                  this, they have created a new
                                                                  concept store, which opened     atmosphere, and encloses a       women change their perfume
                                                                  in the Burjurman Shopping       special area dedicated to the    in the course of the day –
                                                                  Mall in Dubai in July 2009,     oudh, a precious resin that      using one for the morning,
                                                                  where it now attracts a         is contained in most oriental    one for the afternoon, and
                                                                  broader target shopper and      perfumes, and costs up to        another for the evening – and
                                                                  no longer only Arab men and     1,000 US dollars per gram.       often make their purchases
                                                                  women.                          To address the eastern           once a week.
                                                                                                  customers’ expectations          Fragrances are used as a
                                                                  The concept                     and attract a flow of visitors   means of self-expression
                              Market opportunity                  The new concept store aims      through the sales outlet, a      and are chosen according
                              Ajmal Perfumes is the United        to modernise the brand          fairly large area is reserved    to mood, denoting a distinct
                              Arab Emirates’ leading name         image and the customer’s        for new products. Generally      difference from the western
                              in the perfume sector, which        shopping experience. The        speaking in the Middle East,     tradition, where the customer
                              has integrated its activities       store is divided into three
                              both as producer and as             areas. Two of these are
                                                                                                  orchestrates the different
                              retailer with a network of          in the front of the store,
                                                                                                  types of perfume as a means
                              over 120 specialist stores          one assigned to packaged
                                                                                                  of guiding the customer,
                              in various countries across         perfumes, and the other
                                                                                                  distinguishing the western
                              the Middle East. The group          focused on the select range
                                                                                                  and more delicate perfumes
                              decided that this is an             of essential oils, encased
                                                                                                  from the typically stronger
                              opportune moment to                 in precious handmade
                                                                                                  eastern ones. The rear of the
                              boost its domestic markets,         glass containers. The layout
                                                                                                  store offers a more intimate
92   R etail I nnovations 6                                                                                                                                        R etail I nnovations 6   93
A   jm a l      -    UNITED        ARAB           E M IRA T E S




                                                                                                 devoted to oud-based
                                                                                                 perfumes is less brightly lit, to
                                                                                                 make the area more intimate
                                                                                                 and create a mood in keeping
                                                                                                 with a product that requires
                              wears a single perfume for      containers. The graphic            special respect and attention.
                              the entire day, and tend to     device used throughout is
                              keep a certain habit over the   a winning blend of western         Conclusions
                              years.                          and Arab geometric forms,          The new concept store is right
                                                              and symbolises a cloud of          on target with its primary
                              Retail is Detail                perfume dissipating in the         objective of bringing Arab
                              The company has developed       air. The decor colours are         perfumes to the attention
                              an integrated visual identity   mostly warm, with gold             of a wider audience. While          In the next 24 months, the
                              that is proclaimed coherently   predominating, to convey           the group’s stores have             concept will be applied to
                              throughout the store and in     high quality and luxury in a       generally recorded a clientele      the stores already opened,
                              the packaging, along with       welcoming and modern way           composed solely of Arab men         and 35 new openings are
                              the in-store advertising        to the international clientele     and women, the presence of          envisaged over the coming
                              and furniture details,          that makes up the main             Europeans and Asians in this        36 months.
                              including custom displays,      target. Considerable attention     store is around 40%, with
                              lighting, and special oudh      has been given to the lighting     a greater number of male
                                                              in particular – in the perfume     visitors.
                                                              area the light is more intense
                                                                                                                      Key points of innovation
                                                              and direct, drawing attention
                                                                                                                      Innovative mixture of tradition and modern ideas
                                                              to the department with the
                                                                                                                      Ethnic chic shopping experience
                                                              largest turnover of goods,
                                                              and to give a more youthful
                                                                                                                      Notes on Retail Mix
                                                              touch to the interiors. In the
                                                                                                                      Unique assortment
                                                              essential oils section the light
                                                                                                                      Intensive customer-oriented service
                                                              is softer, with museum-like                             Some hand-crafted packaging
                                                              display systems to underscore                           Contemporary/traditional atmosphere
                                                              the preciousness and quality                            Mid- to high pricing
                                                              of the products. The area
94   R etail I nnovations 6                                                                                                                                              R etail I nnovations 6   95
USA         -   Seattle




         15th Avenue
            Coffee and Tea
         A new coffee shop from the Starbucks Group that innovates in two directions:
         an assortment that offers new proposals each day, and includes beer and wine;
         and a more locally oriented philosophy that offers a platform for involvement,
         by which the clientele can decide the type of music played, the events,
         and which non-profit organisation to support



                                                        Market opportunity
                                                        Despite the general drive           Key data
                                                        towards globalisation, more         Format: coffee shop
                                                        and more people are seeking         Launched: 2009
                                                                                            Starbucks Group
                                                        solutions of a more local
                                                        nature. This trend has been
                                                        harnessed by Starbucks as
                                                        part of its strategy reshuffle
                                                        to cope with the drastic          The concept                       though the brand’s spirit is
                                                        slump the company has             The early results have            still present, given that the
                                                        faced in the last few years.      validated the “Schultz            staff was largely siphoned off
                                                        The founder Howard Schultz,       treatment”, on the one hand       from the “mother” chain.
                                                        who returned as CEO, set two      restoring credibility and         The interiors are furnished
                                                        priorities: on the one hand to    prestige, and on the other        with a notable quota of
                                                        streamline by closing down        providing the necessary funds     recycled materials, such
                                                        weaker outlets, and on the        to launch the new label 15th      as the seating, which was
                                                        other to overhaul the core        Avenue Coffee and Tea.            salvaged from a disused
                                                        selling feature of the group      The pilot outlet opened in        theatre.
                                                        (coffee), and to launch a new     Seattle in June 2009 and its      The decor is predominantly
                                                        chain entitled 15th Avenue        concept is distinctly different   wood and metal, establishing
                                                        Coffee and Tea, which pivots      from all the previous trials      a simple and almost raw look
                                                        on a local, street-level ethos.   attempted by Starbucks, even      that contrasts with the living-


96   R etail I nnovations 6                                                                                                                                   R etail I nnovations 6   97
15    th     a v en u e    -   USA




                                                                                                 retail formulas of assortment,
                                                                                                 pricing, events, solutions, and
                                                                                                 initiatives.
                                                                                                 The store’s different
                                                                                                 positioning from the standard
                                                                                                 outlets has enabled the
                                                                                                 Starbucks Group to target a
                                                                                                 type of customer who was
                                                                                                 until now off the radar.

                               room style of the traditional   what non-profit organisation
                               Starbucks outlets.              or local support-group to
                               Moreover, the assortment at     devolve the annual CSR quota
                               15th Avenue Coffee and Tea      to.
                                     shatters the Starbucks
                                     taboo against alcohol     Retail is detail
                                     by including beer and     Each day new products and
                                     wine, a choice that       variants are introduced so as
                                                                                                       Key points of innovation
                                     triggered a backlash      to provide customers with a
                                                                                                       Local approach with customer input on the choice of music, associations,
                                     from the American         wider choice than they would            and events staged in store
                                     analysts, who however     get at a traditional Starbucks.
                                     looked approvingly
                                                                                                       Notes on Retail Mix
                                     on the local factor,      Conclusions                             Customer-oriented service with user-generated experience
                                     given that the joint      The plan is to expand the               Core product remains coffee, with beer and wine included
                                     hosts book-readings,      15th Avenue Coffee and Tea              in the assortment
                                     concerts, and other       concept so that it becomes              New proposals introduced every day
                                     events related to         an independent chain, but               Furbished with recycled materials
                                     the city’s artists, and   aside from this possible                Simple, “raw” environment
                                     involves the customers    development, this new
                                     in the daily running of   concept of coffee-shop
                                     the store, such as what   has provided an ongoing
                                     music to listen to, or    laboratory for testing out
98   R etail I nnovations 6                                                                                                                                         R etail I nnovations 6   99
USA         -   Austin




            Office Depot
      The first prototype of the “green” office superstore addresses the growing
      expectations of customers, while in turn prompting compliance                                   Key data
      among both customers and staff                                                                  Format: green concept store for office supplies
                                                                                                      Launched: 2008, in Austin (Texas)


                                                                                                      Office Depot Data

                                                                 complies with the “Leadership        1986: company founded with the opening of the first
                                                                 in Energy and Environmental          retail outlet in Fort Lauderdale (Florida)
                                                                 Design” (LEED) standards.            1,100 stores (USA and Canada); 400 stores
                                                                                                      (rest of the world)
                                                                 THE concept                          2008: $14,5 billions turnover
                                                                 In July 2008, Office Depot
                                                                 opened its first “green” outlet    only aims for all-round           entrance; while those who
                                                                 in Austin, Texas, as part of       sustainability in its own         arrive on a bicycle (both
                                                                 the company’s environmental        operations, but advises           customers or staff) are
                                                                 commitment towards the             customers on their forms of       assigned dedicated bike-
                                                                 demand for green products,         compliance, starting with the     racks. The illumination of
                               Market opportunity                a green lifestyle, and a green     parking lot, where visitors are   the store relies on daylight
                               American customers are            sales policy. Among the            informed that the concrete        filtering through 50 skylights,
                               becoming more insistent           special features of the store      floors are made from recycled     covering around 90% of
                               on eco-friendly products          are light systems triggered by     materials, and that the white     the store’s needs. Recycled
                               and increasingly expect           sensors installed in the offices   paint reflects the sun’s rays,    products are present
                               the retailers themselves to       and the restrooms; water-          thereby helping to keep the       everywhere, including 30%
                               adopt sustainable models          efficient plants; and floors       parking lot cooler with less      of the concrete floors, and
                               of conduct at all levels of       coverings made from 60%            impact on the environment.        90% of the partitions. The
                               their activities. To address      recycled building materials        Customers who drive low-          shopping trollies were
                               this demand, Office Depot,        with a low-carbon emission         emission (hybrid) vehicles        purchased second-hand and
                               the world leader in office        quotient.                          and those who share an            simply spray-painted. The
                               supplies, has designed the        In tune with the company’s         automobile are awarded            vast assortment of products
                               first prototype of a store that   polices, Office Depot not          a special zone nearer the         includes a great many green

100   R etail I nnovations 6                                                                                                                                            R etail I nnovations 6   101
Of    f i ce     De   p ot   - USA




                                                                                                  Conclusions
                                                                                                  Office Depot is satisfied with
                                                                                                  the results achieved with this
                                                                                                  concept, and has decided
                                                                                                  that all the new stores that
                                                                                                  they open from June 2010
                                                                                                  onwards will be LEED-
                                                                                                  compliant.


                                 items, from recycled paper to    and toner cartridges, and
                                 regenerated toner cartridges,    other technological products.
                                 solar-powered backpacks,         The store is also equipped
                                       and CFLs (compact          with systems for recycling
                                                                                                               Key points of innovation
                                       fluorescent lights).       or regenerating items on
                                       All these green products   the premises, thus avoiding                  Integrated approach to green issues: processes, products, services
                                       are clearly labelled and   their disposal as waste. The                 Attentive campaign to encourage compliance among customers and staff
                                       easy to locate, and are    staff that arrives at work
                                       contained in the Green     on bicycles are rewarded                     Notes on Retail Mix
                                       Book listing over 3,000    with a “maintenance kit”                     Wide assortment of products, found also in Office Depot’s own Green Book
                                       products present on-       that includes the free use                   Services: graphic design, printing, reproduction, mailing, shipping
                                       site.                      of a pump and patches for                    Green solutions: use of daylight; solar panels; high-performance reflecting
                                                                  repairs, thereby promoting                   membrane on roof; use of low-carbon-emission materials
                                       Retail is detail           consistency with its green                   Recycling convergence point within the store, with an area assigned for
                                       The store also serves      message among the
                                                                                                               defunct mobile phones
                                       as a collection            workforce as well.
                                                                                                               Kiosk outside the store informing customers and staff on transport options
                                       point for objects
                                                                                                               available in Austin
                                       and materials that
                                                                                                               Multi-channel: sales through office supplies outlets, representatives, internet
                                 customers no longer use:
                                                                                                               sites, direct marketing catalogues, and call centres
                                 paper, cell-phone batteries,
                                 rechargeable batteries, ink


102   R etail I nnovations 6                                                                                                                                               R etail I nnovations 6   103
WEB          -   France




         clubatcost.fr
      The “warehouse club” model goes online in French style
      with the sale of fashion items at “cost price” and revenue
      driven solely through member




                                                                                                     Key data
                                                                                                     Format: e-commerce of fashion clothing at cost price
                                                                                                     Launched: 2009
                                                                                                     1 e-commerce website (www.clubatcost.fr)
                                                                                                     and 2 showrooms (Paris and Montpellier)
                                                                                                     48 staff
                               Market opportunity                 designer clothes, in which         11,000 members
                               Retailers say “cut-price,          the value of the label never
                               special offer, end of season”,     seems to quite justify the
                               etc., but it is never clear just   price, which has often been      particular in non-food sectors   to 70% cheaper than they
                               what the “right” price is, and     raised up to ten times. The      such as clothing.                are in the stores with an
                               people often get the feeling       climate of growing consumer                                       equivalent level of style and
                               they are paying too much,          awareness and diminishing        The concept                      quality. The company’s slogan
                               particularly when it comes to      incomes has created new          Clubatcost.fr has found          is simple enough – “No
                               fashion products where prices      opportunities for retail         a smart way to address           intermediaries, advertising
                               fluctuate swiftly, depending       businesses to focus more         the dual expectations of         costs, or marketing”. A pair
                               on the retail channel and on       on the intrinsic values of the   its customers, with low,         of Clubatcost.fr jeans comes
                               whether the sales are during       products, and selling online     transparent pricing using        to €21, practically the cost
                               or after a season. Such doubts     offers an interesting support    an innovative commercial         price. The retailer’s profits
                               are particularly strong toward     for this type of enterprise,     model, offering items up         lie entirely on the yearly
104   R etail I nnovations 6                                                                                                                                        R etail I nnovations 6   105
c l u b a tcost          .   f r   -   WEB




                                    subscription of 120
                                    that each customer
                                    pays to buy on the
                                    website, adopting the
                                    warehouse club-type                                               (40 to 50 new-entries
                                    of business model.                                                per week), high quality
                                    Part of the                                                       (production guaranteed
                                    company’s success stems          guarantee of a 100% refund.      from suppliers who
                                    from its stringent policy of     Furthermore the site offers      work for the top fashion
                                    transparency on pricing – for    a highly useful system of        brands), close attention to
                                    every product the buyer sees     visualising the product          the fashion trends of the
                                    the cost price relative to the   on-screen high resolution,       season, and the utmost
                                    country of production, the       image rotation, zoom), and       speed in processing
                                    total for taxes and the costs    has now made it possible for     orders.
                                    for shipping and logistics.      customers to try the items
                                    At the very end, the             on in the showrooms in Paris
                                    “Clubatcost price” is clearly    and Montpellier.
                                                                                                           Key points of innovation
                                    indicated online, and always                                           E-commerce concept store that sells clothing at cost price and earns profit
                                    compared against the             Retail is detail                      only from the site subscriptions
                                    regular price in the high-       Clubatcost.fr’s offering of           Transparent and appealing indication of prices
                                    street. Another key feature      female fashion is divided             Very fast delivery (48h)
                                    of Clubatcost.fr is the ease     into three styles (basic,
                                    of shopping online with a        contemporary, and easy                Notes on Retail Mix
                                                                     living), besides a line of            Assortment: 100% private label; three styles: basic, contemporary, and easy-
                                                                     medium and high quality               living, plus a high-end range. 40–50 new items put online each week
                                                                     items that employ precious            Prices: around 70% lower than those found in traditional high-street stores,
                                                                     materials such as cashmere            of the same quality and style
                                                                     and leather.
                                                                                                           Personnel: 48 staff, including 15 product managers and designers
                                                                                                           Services: delivery within 48 hours, payment 7 days from delivery, refund 100%
                                                                     To keep customers coming
                                                                                                           guaranteed (within 14 days of delivery); all services are completely free to
                                                                     back to the site, the company
                                                                                                           encourage customers to order online
                                                                     has opted for a “fast-fashion”
                                                                                                           Website: sophisticated system of visualisation of every product
                                                                     type or retailing, by ensuring
                                                                                                           Multi-channel: two showrooms to give customers the chance to try clothes on
                                                                     a rapid turnover of the               Media: daily newsletter with updates on the latest bargains and new-entries
                                                                     collections



106   R etail I nnovations 6                                                                                                                                           R etail I nnovations 6   107
WEB          -   Great      Britain




         mydeco.com
      A Web 2.0 portal that provides inspiration and guidelines for consumers
      to customise their own interior furnishings and home decorations,
      also enabling interchange between members of the community




                                                              combinations. For this reason,
                                                              Mydeco has addressed the           Key data
                                                              challenge with a concept that      Format: 2.0 portal
                                                              is garnering considerable          Launched: 2007
                                                              success: an online platform        Founders: Brent Hoberman and Martha Lane Fox
                                                              based on a multi-brand             5 mln SKU
                                                              catalogue connected through        35 staff
                                                              the web with each brand’s          2,000 retailers involved
                                                                                                 80,000 active members of the community
                                                              site, enabling customers,
                                                              fanatics, and professionals
                                                              who have joined the
                                                              community to swap ideas and
                                                              put forward their own hybrid     500 retailers and combines
                                                              interior designs.                the broad selection with
                               Market opportunity                                              3D software that allows
                               As with other pioneers of      The concept                      end-users to design their
                               Web 2.0 sites, the Mydeco      Mydeco was founded in 2008       own interiors, be it a room
                               online concept store devoted   with the backing of high-        or an entire house. So far,
                               to interior design and home    profile personalities such       some 1,000 such designs         can create a “moodboard”
                               decorating has taken its cue   as Skype co-founder Niklas       have been completed (and        by selecting from among the
                               from the fact that people      Zetterström, and Sir Terence     archived). Consumers can        many components available
                               are becoming increasingly      Conran and Philippe Starck,      upload photos of the room       on the site; alternatively they
                               diffident towards brands per   who are on the board of          they intend to decorate and     can consult other people’s
                               se, and prefer to concoct      directors.                       then modify the colours with    moodboards, and take part in
                               their own hybrid styles and    Mydeco offers products from      a click of the mouse; or they   design competitions, showing
108   R etail I nnovations 6                                                                                                                                     R etail I nnovations 6   109
my d eco         .   com   -   WEB




                                                                                                                                      opportunities: the total
                                                                                                                                      customisation of the style
                                                                                                                                      of one’s home or of a room,
                                 off their creative flair with the   a minimum 3% cut on the
                                                                                                                                      including articles from
                                 interactive 3D design tools.        sales. Members can upload
                                                                                                                                      lesser-known designers;
                                 Another important utility is        images of their projects, and
                                                                                                                                      the chance to share skills
                                 the application Buy the look        a Mydeco team evaluates
                                                                                                      Conclusions                     and get inspiration from
                                 for less. If a consumer finds a     whether to put them into
                                                                                                      The project is enjoying         experts and other members
                                 room he or she likes but the        production; in this case
                                                                                                      notable success for the         of the community; and the
                                 price seems too steep, one          Mydeco receives a 12% cut of
                                                                                                      innovative model it employs.    opportunity to spend less
                                 just clicks the Buy the look        each project sold.
                                                                                                      Through its platform            while still solutions suited for
                                 for less button and Mydeco
                                                                                                      Mydeco offers a variety of      one’s chosen style.
                                 proposes a cheaper version of       Retail is detail
                                 the room that keeps its style.      Typical of other social media
                                 Purchasers can also build           networks, Mydeco also carries
                                 their own “Wish List”.              online community blog where
                                 The actual sale of the items        members can exchange                  Key points of innovation
                                 is effected by the retail           ideas, plans, and design tips:        Simple procedure for transferring customers’ ideas on home design solutions
                                 partners of Mydeco, who get         here they can chat about              Platform that encourages sharing of skills and ideas among community members
                                 a 12% cut on all products           what’s new and hot on the
                                 sold as a consequence of the        design front. More stimuli is         Notes on Retail Mix
                                 user traffic those partners         provided by the company’s             Prices: supplied by each product’s brand and aligned with the company’s own
                                 have recorded on the site.          own bloggers, who showcase            website
                                 Community members can               chosen interiors and designs          Single channel: website
                                 also earn something: every          and analyse the emerging              Assortment: wide selection of furniture and accessories for the home, with some
                                 time a product is sold from a                                             exclusive products created by members
                                                                     trends.
                                                                                                           Communication: blogs, web communities, and social media
                                 room they designed, they get


110   R etail I nnovations 6                                                                                                                                             R etail I nnovations 6   111
WEB          -   USA




         groupon.com
      Groupon – a handy contraction of group + coupon – is an innovative website that
      runs special deals on products and services which change every day, and are only
      valid if the online community buys a preset minimum number of coupons, following
      a mechanism that has so far earned enthusiastic ratings and high sales turnover
                                                                                                  Key data
                                                                                                  Format: e-promotion
                                                                                                  Launched: 2008
                                                                                                  2 million members across the United States
                                                                                                  1.4 million Groupons sold since its launch
                                                                                                  2010: 350 mln$ revenue
                                                                                                  48 cities in the US covered
                                                                                                  (100 within the end of 2010) and London




                                                                                               tipping-point established       of-mouth and the active
                                                                                               beforehand from case to         involvement of certain people
                                                                                               case. Groupon focuses on a      in campaigning to reach the
                                                                                               wide range of special deals     right quota of people. All
                                                                                               (such as tickets for shows,     past deals are listed on the
                                                                                               dining out, courses, club       website so that everyone
                                                                                               memberships, etc.), which       can see the results of each
                               Market opportunity             The concept                      differs for each city.          campaign: for instance, the
                               The growing trend for saving   Groupon’s slogan is              At times their success has      annual membership to the
                               money through collective       “collective buying power”, and   proved dramatic, such as the    Art Institute of Chicago with a
                               buying is a rapidly growing    its novel mechanism is based     Groupons for a production       64% discount garnered 4,913
                               facet of new consumerist       on bargain deals for services,   of Faust at the Chicago Lyric   Groupons; the $50 vouchers
                               philosophy, and Groupon has    gift vouchers, and products.     Opera, which sold out in a      for jeans worth $125 from
                               taken advantage of the web’s   Each deal is valid for one       few hours; a similar thing      Denim Lounge were snapped
                               capacity to spawn virtual      day only, and is not activated   happened with tickets for a     up by 1,269 Groupon
                               consumer groups to this end.   unless the number of             Chicago Cubs game.              members. The returns on
                                                              subscribers reaches the preset   The system works by word-       the system also lies in the
112   R etail I nnovations 6                                                                                                                                     R etail I nnovations 6   113
g r o u p on             -   WEB




                                                                                                     In 2009 Groupon received
                                                                                                     a block investment of 30
                                                                                                     million dollars from the Pal
                                                                                                     Alto-based company Accel
                                                                                                     Partners, whose portfolio

                                   added sales generated by         with Groupon, including          includes Facebook and

                                   the Groupons themselves,         the company’s hands-on           ComScore. Groupon’s founder

                                   by which members tend            assistance in handling the       and CEO Andrew Mason

                                   to spend another 60%             sudden surge of requests.        expects to hit the figure of

                                   each time they utilise their     Today there is a waiting list    350 million dollars in revenue

                                   Groupon deal.                    of 100 companies, including      by the end of 2010.

                                                                    both retailers and service
                                                                    operators, to become partners
                                                                    of Groupon.


                                                                    Conclusions
                                                                    Groupon has already
                                                                    expanded into many markets
                                                                    in the United States, starting
                                                                    with Chicago, followed              Key points of innovation
                                   Retail is detail
                                                                    by Boston and New York,             A winning publicity mechanism that generates a high turnover
                                   The launch of a Groupon
                                                                    and has quickly covered
                                   has proved an excellent
                                                                    48 cities, wiht another 100         Notes on Retail Mix
                                   and highly focused way of
                                                                    expected within 2010. In            Assortment: most Groupons focus on services: restaurants, service gift vouchers
                                   spotlighting the respective
                                                                    the United States alone it          (manicures, etc.), museum memberships, courses (diving, hypnosis, etc.)
                                   partner, as well as generating
                                                                    has over 2 million members,         Deals are local and tailored to the expectations of each market,
                                   a high sale turnover in a                                            drawing from online review sites such as Yelp
                                                                    and Chicago has 220,000
                                   single day. Various retailers                                        Groupon is linked to social networking via Twitter and Facebook to accelerate
                                                                    subscribers to the Groupon
                                   have stated satisfaction                                             and boost awareness of the offers
                                                                    newsletter.
                                   with the results of working

114   R etail I nnovations 6                                                                                                                                            R etail I nnovations 6   115
WEB          -   USA




             zappos.com
      Providing an excellent online service full of surprises and entertainment,
      Zappos has achieved success in e-tailing without resorting to price cuts
      or advertising – in ten years its turnover leaped from a million to a billion dollars,
      thanks to the enthusiastic service and a hand-picked crew of highly motivated staff



                                                                 achieve, and that it is also
                                                                 one of the main indicators of
                                                                 success for any company in
                                                                 the long term. Other studies
                                                                 have revealed the hurdles          Key data
                                                                 of selling “sensory” products      Format: e-tailer
                                                                 online, such as clothing and       Launched: 1999
                                                                 footwear. Zappos.com has           2007 records gross profits
                               Market opportunity                successfully tackled these two     2009: bought by Amazon.com
                               The growth rate of Zappos.        fronts by pivoting its sales       2009: $1 billion turnover
                               com’s online retailing            strategy on customer service.      900,000 products (footwear, clothing, accessories)
                               business keeps rising, and        Although this has required         2009: E-tailer Award at the World Retail Congress
                               forecasts indicate that in the    substantial investments to
                               United States it will continue    the detriment of marginal
                                                                                                  The product offering               Zappos.com aims to take
                               to expand by 6 to 8% each         gains in the short term, the
                                                                                                  comprises a huge range of          the customer by surprise
                               year for the coming five years.   word about Zappos.com
                                                                                                  items and accessories in a         with a high and unexpected
                               Even sharper increases are        has spread, making it an
                                                                                                  wide range of sizes, styles,       standard of service: free,
                               expected for the online sales     obligatory port-of-call for
                                                                                                  and over a 1,000 leading           overnight shipping of orders,
                               of footwear, clothing, and        demanding online buyers,
                                                                                                  makers of footwear. In order       and excellent after-sales
                               accessories overseas.             despite all products being
                                                                                                  to smoothly handle the             service, with the chance
                                                                 sold at list price, owing to
                                                                                                  million plus orders it receives,   to return purchases within
                               The concept                       the company’s decision to
                                                                                                  the group has invested time        365 days, even if due to a
                               Many market studies have          effect discounts and sales
                                                                                                  and money in logistics and         customer simply changing
                               shown that client satisfaction    only through their completely
                                                                                                  internal operations.               their mind.
                               is increasingly hard to           separate outlet, 6PM.com.
116   R etail I nnovations 6                                                                                                                                         R etail I nnovations 6   117
z a p p os      .   com   -   WEB




                                                                                                   with a $1,000 handshake -
                                                                                                   the amount of people who
                                                                                                   accept this form of firing is
                                                                                                   only 10% and this system
                                                                                                   has reduced the turnover of
                                Zappos.com has outlined its       6. 	 Build Open and Honest       long-term staff, ensuring the    of 2009 Amazon.com, the
                                mission with a list of ten core      Relationships With            company greater continuity       biggest online retailer in the
                                values, which it encourages          Communication                 in the service offered to its    United States, bought up
                                its 1,400+ staff to share and     7. 	 Build a Positive Team and   customers.                       Zappos.com, declaring that it
                                honour:                              Family Spirit                                                  would nevertheless continue
                                1. 	 Deliver WOW Through          8. 	 Do More With Less           Conclusions                      to run the concern with
                                    Service                       9. 	 Be Passionate and           Set up in 1999, the group        continuity and differentiation
                                2. 	 Embrace and Drive               Determined                    grossed over $800 million        regarding its own business.
                                    Change                        10. Be Humble                    in merchandise sales in          The innovation may entail a
                                3. 	 Create Fun and A Little                                       2007. It is therefore no small   broadening of the categories
                                    Weirdness                     Retail is detail                 wonder that in the summer        presently covered.
                                4. 	 Be Adventurous, Creative,    Besides the call centre and
                                    and Open-Minded               chat-line on the site, there
                                5. 	 Pursue Growth and            are 500 staff members ready
                                    Learning                      to answer queries on Twitter,         Key points of innovation
                                                                  Facebook, and MySpace. To             Online business focused on excellent service and not price
                                                                  get on the Zappos.com team
                                                                  is not easy and requires a            Notes on Retail Mix
                                                                  great deal of commitment
                                                                                                        Full-price on purchases
                                                                                                        Vast assortment of well-known national and international brands
                                                                  and personal responsibility.
                                                                                                        Service: free shipping; 100% no-fuss return policy within 365 days
                                                                  For this reason, if a trainee
                                                                                                        of purchase; enthusiastic personnel
                                                                  does not meet up to the
                                                                                                        Media: intensive use of social media and word-of-mouth publicity
                                                                  exacting standards of the
                                                                  company, he or she is let go


118   R etail I nnovations 6                                                                                                                                          R etail I nnovations 6   119
a c k no w l e d gments



      Special thanks to:

      •	Roberto Chelucci (Sconto Maxi)
      •	Nicola Farinetti (Eataly)
      •	Laura García (Tous)
      •	Cristina Larrumbe (National Geographic)
      •	Paolo Lucchetta (Retail Design)
      •	Domenico Pellicanò (Librerie.coop)
      •	Tiziana Primori (Coop Adriatica)
      •	Francesco Pietrangeli (Pirelli Tyre)
      •	Rossana Subrizio (Chicco Artsana)
      •	Andrea Trillo (Danone)




      Thanks also to the Ebeltoft members and team:

      •	Luke Lim, Chew Lay Bee (A.S. Louken)
      •	Deborah Smith Cabrera, Xavier Kaffmann (Dia-Mart)
      •	Marco Fuhrer, Franziska Luthiger (Fuhrer & Hotz)
      •	Renato Müller (Gouvea de Souza & MD)
      •	Constanze Cravaack (Gruppe Nymphenburg)
      •	John Williams, Jim Okamura, Julia Kang (J.C.Williams Group)
      •	Irene Gilardoni, Ilaria Zanette (Kiki Lab)
      •	Magda Espuga, Mireia Martì, Gibet Moll (Kiss Retail)
      •	Laura Ann Brown, Neil Stern (McMillan Doolittle)
      •	Monica Lucas, Stephen Walsh (Pragma Consulting)
      •	Bijitesh Mallik (Ramms)
      •	Michael Skou, Mette Skovgaard Frich (Retail Institute of Scandinavia)
      •	Raffaele Miraglia (honorary member)

      Photos have been supplied by Ebeltoft members or directly by the retail firms

      Translation:Andrew Ellis - Word Studio
      Technical Editing: Neil Stern (McMillan Doolittle)



      Fabrizio Valente, founder partner of Kiki Lab and founding member
      of the business alliance Ebeltoft, has coordinated the 2010 research




120   R etail I nnovations 6
B      	eyond     every horizon, new horizons always rise
               				                                               			
                                                                                            (Michael Ende)

The crisis under way is accentuating the polarisation between the mass of operators on the one
hand who are shy of innovating, and on the other those of a more daring and long-sighted nature
who continue to allocate resources and ideas toward renewal, and even undertake restructuring and
streamlining operations in parallel if necessary.



                                                                                                                                                                                                Retail
Investing in innovative projects at the present juncture therefore represents an even greater opportunity.
Confirming this is the wide range of projects we present in this year’s overview of retail innovations.
Thanks to our partnership with the World Retail Congress, we have been entrusted with assessing the




                                                                                                                     Research coordinated by Fabrizio Valente - Kiki Lab and Ebeltoft founder
cases competing for the Retail Innovation Award and of selecting six finalists. Despite the recession,




                                                                                                                                                                                                Innovations 6
new project ideas are being explored everywhere. (…) As always, time will determine which of these
innovative strategies will enjoy enduring success. And though these projects all got off on the right foot,
every retailer knows that success must be renewed each day. So, we wish the best of luck to those who
(like ourselves) have found inspiration from their stores.


                                                                                                                                                                                                                                  2010
                                                                                                                                                                                                                  Shaping the future of retail
                    Innovation trends
                    •	 Socialtailing                     •	   Accessible dreams
                    •		“I trust you”                     •	   Greentailing
                    •	 Pro-client efficiency             •	   Liquid retail
                    •	 Glocalism                         •	   Emerging retail territories
                                                                                                                                                                                                Research coordinated by
                                                                                                                                                                                                Fabrizio Valente - Kiki Lab
                                                                                                                                                                                                Founder member of Ebeltoft




Ebeltoft is a business alliance, which was founded in 1990 and is comprised of 19 firms that have a
common, strong focus on the retail and service business, and provide consulting a wide range of services to
                                                                                                                 Retail Innovations 6

help retailers and suppliers in the retail sector remain competitive and achieve their goals. Ebeltoft members
work worldwide both for many market leaders and for important emerging local players.
Ebeltoft has been studying trends and innovations in Retail since it was founded and, since 2005, has
published the yearly report Retail Innovations that focuses on emerging trends and the most interesting
cases worldwide.
Last international surveys: The Trust Factor in Retail; N@o Consumer




  For a personal presentation of the Retail Innovations research and our last international surveys please
                    contact your local member of Ebeltoft at : www.ebeltoftgroup.com

Retail Innovation 6 - Ebeltoft Group

  • 1.
    B eyond every horizon, new horizons always rise (Michael Ende) The crisis under way is accentuating the polarisation between the mass of operators on the one hand who are shy of innovating, and on the other those of a more daring and long-sighted nature who continue to allocate resources and ideas toward renewal, and even undertake restructuring and streamlining operations in parallel if necessary. Retail Investing in innovative projects at the present juncture therefore represents an even greater opportunity. Confirming this is the wide range of projects we present in this year’s overview of retail innovations. Thanks to our partnership with the World Retail Congress, we have been entrusted with assessing the Research coordinated by Fabrizio Valente - Kiki Lab and Ebeltoft founder cases competing for the Retail Innovation Award and of selecting six finalists. Despite the recession, Innovations 6 new project ideas are being explored everywhere. (…) As always, time will determine which of these innovative strategies will enjoy enduring success. And though these projects all got off on the right foot, every retailer knows that success must be renewed each day. So, we wish the best of luck to those who (like ourselves) have found inspiration from their stores. 2010 Shaping the future of retail Innovation trends • Socialtailing • Accessible dreams • “I trust you” • Greentailing • Pro-client efficiency • Liquid retail • Glocalism • Emerging retail territories Research coordinated by Fabrizio Valente - Kiki Lab Founder member of Ebeltoft Ebeltoft is a business alliance, which was founded in 1990 and is comprised of 19 firms that have a common, strong focus on the retail and service business, and provide consulting a wide range of services to Retail Innovations 6 help retailers and suppliers in the retail sector remain competitive and achieve their goals. Ebeltoft members work worldwide both for many market leaders and for important emerging local players. Ebeltoft has been studying trends and innovations in Retail since it was founded and, since 2005, has published the yearly report Retail Innovations that focuses on emerging trends and the most interesting cases worldwide. Last international surveys: The Trust Factor in Retail; N@o Consumer For a personal presentation of the Retail Innovations research and our last international surveys please contact your local member of Ebeltoft at : www.ebeltoftgroup.com
  • 2.
    CONTENTS Business alliance Ebeltoft.................................................................................................2 Market Environment and Trends..................................................................................3 International Cases............................................................................................. 7 Brazil Singapore Havaianas........................................ 8 . Action City................................... 68 Food Republic.............................. 72 Canada Spain Murale........................................... 12 . Tous................................................ 76 Danone Store.............................. 80 . China House of Barbie.......................... 16 . Sweden Laxomat........................................ 84 . France Kbane............................................. 20 Switzerland Chez Jean...................................... 24 Westside....................................... 88 . Germany United Arab Emirates Apo.take........................................ 28 Ajmal.............................................. 92 Estella Kochlust........................... 32 . USA Great Britain 15th Avenue................................. 96 . National Geographic.................. 36 Office Depot..............................110 Swarovski...................................... 40 Recipease...................................... 44 WEB, France clubatcost.com..........................104 . India Graavaa......................................... 48 . WEB, Great Britain mydeco.com...............................108 Italy Chicco Village............................... 52 WEB, USA Diablo Rosso - Pirelli................. 56 . groupon.com..............................112 Sconto Maxi................................. 60 . zappos.com.................................116 Spazio Ambasciatori................... 64 . Acknowledgments............................................................................................................. 120 R etail I nnovations 6
  • 3.
    b u si ness a l l i a nce e b e l to f t M a r k et E n v i r onment a n d T r en d s Ebeltoft is a business alliance, which was founded in 1990 and is Retail thrives on change, because retailing strategy is mainly determined by the customers comprising 19 firms that have a common, strong focus on the retail and themselves, who rapidly alter their lifestyles, preferences, and ways of shopping. Retail is also driven service business, and provide consulting a wide range of services to help by competition, which has become increasingly transversal, and operates through a combination retailers and suppliers in the retail sector remain competitive and achieve of physical and digital channels; services competing with products; offers coming with multiple their goals. Ebeltoft members work worldwide both for many market leaders and for important choices (for instance, what impulse to fulfil on a grey day?), with an ever-wider access to consumer emerging local players. Ebeltoft has been studying trends and innovations in Retail since it was credit, and a constantly fluctuating availability. All these factors combine in determining how and founded and, since 2005, has published the yearly report Retail Innovations that focuses on what guarantees the “share of wallet” and, even more important today and in the future, the emerging trends and the most interesting cases worldwide. “share of life” that retailers can obtain from their customers. Lastly, retail involves a 360º type of Last international surveys: The Trust Factor (2009); N@o Consumer (2009) communication: in the store itself, in relations with customers, through websites, but also through Main Services the grapevine, be it traditional word-of-mouth or through web blogs and social networks. • Retail Branding • In-store Insight Retail is therefore changing daily, even if retailers are not always aware of it, perhaps because they • Strategic Analysis and Planning • Customer Surveys • New Concept Development • Shopper Category Management have not changed their own way of doing business. In this sense, there are basically two paths • Multi-channel Strategies and Management • Retail Tours one can take – either succumb to change, or prompt and channel it through specific, innovative Members of Ebeltoft work for 36 of Top 100 Retailers and 15 of Top 20 Manufacturer Brands in the world. marketing projects Members of Ebeltoft The crisis under way is accentuating the polarisation between the mass of operators on the one Americas hand who are shy of innovating, and on the other those of a more daring and long-sighted nature who continue to allocate resources and ideas toward renewal, and even undertake restructuring and streamlining operations in parallel if necessary. Investing in innovative projects at the present juncture therefore represents an even greater opportunity. Confirming this is the wide range of projects we present in this year’s overview Europe of retail innovations. Thanks to our partnership with the World Retail Congress, we have been entrusted with assessing the cases competing for the Retail Innovation Award and of selecting six finalists. Despite the recession, new project ideas are being explored everywhere. And the ones with the greatest success are aligned with the more consolidated trends of the emerging expectations of the customer. From our global analysis of both strong and weak signs of development, this year we have pinpointed ten distinct trends currently under way. Asia Research methods Analysis of national and international retail scenarios, pinpointing over 150 cases of innovative retail on the international market Oceania Definition of emerging trends Selection and analysis of innovative cases that most typify each trend Analysis of the process of transfer of possible innovations to individual markets 2 R etail I nnovations 6 R etail I nnovations 6 3
  • 4.
    M a r k et E n v i r onment a n d T r en d s M a r k et E n v i r onment a n d T r en d s Smart Pricing. Prices are as topical as ever, and this aspect of the retail mix generally clashes “I trust you”. Customer trust has become one of the most precious assets for any retail brand. with that of innovation. And yet customers have shown growing responsiveness to strategies And as our recent international research has proved, trust brings a concrete payoff in terms of the that combine convenient prices with innovative and involving dynamics. In a short space of time company’s turnover. The new retail area opened by Danone in Barcelona presents an initiative and thanks to their Price 2.0 project, Groupon has met with a huge success. In itself, the idea that endorses and boosts the customer trust that the brand has generated in 90 years of activity. of offering a new product or discount service online is nothing new, but in this case news of the Besides offering a taste of the classic Danone product in the yogurt bar at the entrance, the new deals spreads rapidly among friends, with the result that almost all the bargains proposed reach space’s main task is to introduce visitors to the brand’s history, values, and projects, through a their target sales figure, thanks also to Groupon’s knack of choosing the right product for each series of interactive consoles and a regular calendar of seminars on the principles of healthy eating. different local context. Pro-client efficiency. Time continues to be the number one luxury for many people, and Customer-oriented. Customer service is one of the fundamental yardsticks of retail success. hence time offers a strategic factor whereby retailers can stand out from the crowd with Given the indiscriminate cuts under way, standards tend to drop, while the expectations of proposals for a swift, efficient, and well-organised shopping experience. Apo.take is a small chain customers rise. The online store offered by Zappos involves a product range in which sensory of German pharmacies that has revolutionised the process of data collection and purchase: the rapport is crucial: shoes with no discount. The idea has triumphed thanks to a standard of display shelves are not arranged with products but with purpose-made data-cards detailing the customer care that has become legend. Here, if a shopper changes his mind, he has up to 365 product in plain language. In this way customers move around freely in the first phase of the visit, days to return his purchase free of postage and packing; and all customer relations are focussed choosing their items, and if necessary can ask advice from a pharmacist. Meanwhile in Sweden a on warmth and kindness toward the purchaser. The secret in this case is the handpicked crew restaurateur has successfully introduced the Laxomat, a completely automated food-distributor of strongly motivated sales staff. Zappos even offers its personnel a special payoff after their trial powered by RFID technology, linked to his original restaurant and providing hot and cold takeaway period if they don’t fit into the company’s ethos. food 24/7 all year round, with special attention to local dishes. Chez Jean, the new concept store launched by Casino in France, is a convenience store that offers a mixture of food and non-food Anti-snob quality. In the past, the fortunes of luxury were based on the dynamics of items plus services for on-the-fly consumption, while also providing a cosy corner where you can ostentation. Nowadays this idea and product positioning has evaporated, passing from the hyper- sit and take your time. luxury niche and exclusive goods to a more democratic and accessible type of luxury. Today this dimension taps into the quest for high-quality products that eschew the undesired side-effects Glocalism. Trade is becoming steadily more local in spirit. Even multinationals have caught on, of snobbery and being out of reach. Thanks to his having become a household name through and retailers are becoming more attuned as they develop international markets, combining a television shows, world-renowned cook Jamie Oliver recently launched a hybrid convenience strong global identity with a local slant. Havaianas is now a global brand, yet for its first flagship store in London called Recipease, in which the customer can drop by for purchases but also store in São Paulo it has endorsed its Brazilian roots, with a tropical floorplan that allows the attend courses and learn to cook quick but healthy dishes, while enjoying the experience of an climate outside (sun, rain) to filter indoors, and proudly displays the humble origins of its very first informal approach in a pleasant laid-back environment. flip-flops. Starbucks’s latest offshoot 15th Avenue is a coffee-store that engages local residents to contribute, and even decide on what music to play in-store. Socialtailing. This year’s offering sees the continued growth of the social and community dimension of the market, by which retailing has become a platform where customers share and Trends swap experiences, in some cases spawning the co-design of new products. MyDeco provides an Smart pricing Pro-client efficiency online service that gives customers the opportunity to design the interiors of their own home, Customer-oriented Glocalism uploading photos onto the site and using simple applications to simulate the various possible Anti-snob quality Accessible dreams combinations, with a varied palette of available items that range from basic elements to more Socialtailing Greentailing exclusive designs. In particular, customers can compare their own ideas with those of other site “I trust you” Liquid retail members and exchange design tips. In this way they can suggest to MyDeco novel interior designs which, if adopted and popular, earn bonuses for the customer. 4 R etail I nnovations 6 R etail I nnovations 6 5
  • 5.
    M a r k et E n v i r onment a n d T r en d s Accessible dreams. The recent economic crisis has stimulated a desire for more simple and accessible pleasures which allow consumers to express themselves and their personality. Swarovski, which has become synonymous with sparkling glamour, has now opened a magical London flagship store to showcase their products and the dreams they represent. The gorgeous crystals are sold individually, enabling the customer to be more engaged in the experience of choosing, buying, and personalisation, including the possibility of customising personal garments or other accessories with Swarovski crystals. In this way the act of creative enhancement is made more accessible and satisfying. International Cases Greentailing. Green retailing is now a widespread phenomenon, partly through a growing social awareness toward environmental issues, and partly due to economic considerations of the increasingly short-term benefits for business. Launched by the Leroy Merlin group, Kbane in France is the first DIY concept store entirely devoted to green products and solutions for home building, decoration, and energy saving. Office Depot, for the first time in the office supplies retail sector, proposes the same approach in the United States with a broad quota of the assortment consisting of green goods. In this concept store, the enthusiasm of the sales personnel is one of the pivotal factors endorsing the chain’s positioning: accurate selection, training courses, activities for sharing ideas on green issues, but also encouragement to improve habits such as the bicycle repair kit provided to all personnel. Liquid retail. The blurring of the processes that underlie how and when we make our purchase decisions offer the retail sector some interesting occasions for proposing multiple shopping situations that can be adapted to different customers and contingencies, creating liquid and flexible shopping contexts. The last concept of chain jewellers Tous mixes self-service areas, suitable for fast fruition and direct interaction with products, with more refined and luxurious areas, where the interaction is primarily with the staff, and the purchasing processes are totally different. As always, time will determine which of these innovative strategies will enjoy enduring success. And though these projects all got off on the right foot, every retailer knows that success must be renewed each day. So, we wish the best of luck to those who (like ourselves) have found inspiration from their stores. 6 R etail I nnovations 6
  • 6.
    BRAZIL - São Paulo Havaianas Famous all around the globe, Havaianas opened its first flagship store that pays homage to its Brazilian roots, while masterfully asserting its new fashion positioning Key data Format: flagship store Launched: 2008 300 sqm 350 products THE CONCEPT 15 staff The first Havaianas concept Price-range for flip-flops from $5 to $140 store recently opened in São Paulo in Rua Oscar Freire, Key data for Alpargatas Group one of the city’s trendy 2008: $1.1 billion (11% up on 2007) neighbourhoods. Exports to 80 countries worldwide With its 300 square meters of floorspace the store manages to unleash the full power of falling onto the numerous that characterise the brand’s MARKET OPPORTUNITY the label and also involve thick plants below, all local own history. After conquering the world its customers. Starting with in origin. Stools and benches With this flagship store, in the last decade with their the foyer, which is made carved into the trunks of the customers can, for the inexpensive, quality flip-flops to appear like an extension tropical trees provide seating first time, find the entire Havaianas has repositioned of the street, the customer for customers. The design assortment of Havaianas itself toward the fashion enters on the mezzanine powerfully conveys both the merchandise under a single market. A vital step in this level, overlooking the main Brazilian spirit of beauty and roof. strategy was to complement floor below. The space is the force of nature, elements the mono-brand outlets naturally lit throughout via already present with a larger, ample skylights set into innovative and conceptually the ceiling, which creates a striking flagship store that constant interplay of shade would communicate more and sunshine. When it rains, directly with the customer, openings at the sides allow and boost the brand’s market rain to enter, giving a tropical authority. effect with showers of water 8 R etail I nnovations 6 R etail I nnovations 6 9
  • 7.
    H ava i a n a s - BRA Z IL This includes flip-flops, bags and accessories, as well as lines that were previously not available in Brazil. The store combines CONCLUSIONS varied types of display The flagship store has an areas. At the entrance average turnover of 4,000 to visitors are 5,000 receipts per week. The back section of the greeted by a The flagship store marks store is devoted to bags and classic street-stall a critical leap forward in accessories, new flip-flops loaded with the Havaianas’s position in the designs, and a stand where “original” flip-flops market. The fashion flip- customers can customise in the lowest cost flop has come a long way, each model with sequins or bracket. A large given that they are worn by other accessories. cube composed of stars and celebrities, even 51 plasma screens A selection of displays for at such high profile events Retail is Detail depicting flip-flops children’s products are as the Academy Award The customer can easily and the brand, with arranged in the form of presentations. identify their shoe size by a film that tells the puzzles and are visually utilising several small carpets various stages of Havaianas’s interesting for children and with templates drawn with history, starting from 1962. adults alike. each size. The personalised The high-end series of flip-flop that are created by flip-flops that are exclusive customers are photographed domestically to the flagship and stored in a digital archive are prominently displayed in that can later be viewed via a a container in the store. Key points of innovation touch-screen monitor. One wall of the store features Flagship store raising the group’s market position a huge rainbow-like display Consistent with the Havaianas identity of tradition and modernity of all the available hues of the flip- Notes on Retail Mix flops, alongside Intensely specialized assortment the exclusive Personal customisation possible for all models Lively involving environment perfume created Plentiful numbers of willing staff for the brand. 10 R etail I nnovations 6 R etail I nnovations 6 11
  • 8.
    CANADA Murale A new type of beauty parlour with luxury cosmetics, both leading and emerging brands, and a new level of personalised customer-service, with professional skincare and beauty consultation, which includes Key data qualified help from a pharmacist Format: perfumery Launched: 2009 3 outlets (Ottawa, Montréal, Toronto); the mother chain, but has 8 by the end of 2010 managed to win over a 250-350 sqm new range of customer. Owners: Shoppers Drug Market Corporation The concept thoroughfare, locations items and product from all The typical Murale facilitated by the group’s own over the world. premises occupies real-estate branch. The main brands occupy an average of 300 The visual impact of the corners where there square metres, putting store lies in the clean, customers can interact and it considerably above well-illuminated design and test out the products, areas average size for this assortment of products, that render the layout more sector, and therefore which range from high- dynamic, creating more Market opportunity distinguishing it from the end beauty products and intimate shopping spaces. The sector of beauty products standard outlets found in perfumes to niche brands, Among the selection are and perfumery is in constant the downtown or in the with a wide gamut of new the usual top labels such evolution; today’s customers shopping malls. But beyond expect retail outlets to offer the extra floor space, the niche services and state-of- concept pivots on an eye- the-art assistance. This is why catching transparent design the leading Canadian retail whose optimal display chain SDM (Shoppers Drug clarity allows customers to Mart), which boasts some get to know Murale and 1,200 drugstores, decided to browse its assortment. Each launch a new concept Murale, store is located in a prime which in part competes with position in a main pedestrian 12 R etail I nnovations 6 R etail I nnovations 6 13
  • 9.
    M u r a l e - C A N ADA as Chanel, Estée Lauder, their needs, offering tips and Lancôme, Nars, Bobbie expert advice on makeup, Brown, but also such each one equipped with a innovative brands as Natura special kit of accessories to Bisse, Murad, and Darphin, enable customers to try out shopper, plus a broad array with its new trendy line of products firsthand. of special services and cosmetics from San Francisco. treatments. Retail is detail The results of applying this One of the key strategy have been very features of the store positive for the first three is the professional stores, and the group plans skincare section, to open another five in other where personalised cities across Canada. treatments are provided by a beautician and a pharmacist. Murale offers a range of 30 special professional services, from beauty treatments to thermal cures, which are available The variety of perfumes in a booth near the skincare Key points of innovation covers 75 different items, section. Ample assortment, wide-ranging, and with an innovative mixture for both women and men, Broad selection of professional services and all in all Murale carries Conclusions products from over 200 Murale has secured a unique Notes on Retail Mix different brands. position in the high-end Assortment: beauty products and perfumes Easily distinguished by their bracket of the cosmetics Wide range of professional services: spa, “brow bar”, clinical section, makeup, smart black uniforms, the sector because it has lessons in skincare, “bridal makeup” applications expertly trained sales staff expanded the traditional Modern retail design clearly marked out by area and assistants, known as offering provided in the Numerous trained staff “Beauty Masters”, are on hand department stores with a to help customers choose range of emerging trendy the cosmetics most suited to brands that attract a younger 14 R etail I nnovations 6 R etail I nnovations 6 15
  • 10.
    CHINA - Shanghai House of Barbie For its 50th anniversary Barbie follows a whim, not for a face-lift but for a six-storey flagship store in one of the world’s new retail capitals, Key data Shanghai, offering a wealth of excitement for girls of all ages Format: flagship store Launched: 2009 First Barbie store in the world 3,400 sqm on 6 stories opened a flagship store in Shanghai in 2009 dedicated to the famous doll. Slade Architecture did the for over 800 different Barbie The concept overall building design. dolls. With a focus on the Barbie Shanghai is a six- A central element of the shopping experience, the story emporium that contain retail design, which lies at the outlet offers visitors four the largest and most core of the store complex, is dedicated “experience” comprehensive collection the striking spiral staircase, features: the first is the Barbie of Barbie dolls in the world, which provides display space Design Centre, where girls having no fewer than 875 are taken through the models on display, alongside step-by-step process Market opportunity a prodigious assortment of designing outfits, Brand dolls with a distinct of licensed Barbie-related with a variety of tops, personality like Barbie tend products (from clothing dresses, trousers, to suffer in traditional retail to accessories). But what gowns, jackets, shoes outlets – such as shopping makes this flagship store and bags. malls, mass-market stores, so exceptional is the vast The Barbie Fashion and the small specialist shops range of added activities and Stage allows girls to - where they are “smothered” services for Barbie fans and get up on the runway by a mass of other toys that their families. like a real fashion are rarely in the same class. The retail experience model, choose their In response, Barbie’s general floors was designed by the own outfit, with manager Richard Dickson Chutegerdeman firm and make-up and 16 R etail I nnovations 6 R etail I nnovations 6 17
  • 11.
    H o u se o f B a r b i e - CHINA they receive previews for new product releases, special discounts, and a present on their birthday: the Barbie Pink World is the premium given to its most faithful customers. Conclusions Mattel is the world’s largest producer of toys, and hair-styling by professionals. (also pink) where the launched its new concept There is also a Barbie Spa that hallmark Barbie style reaches store in Shanghai to keep offers daily spa treatments, its acme: girls who wish to Barbie above the competition facials, skin-care, massage, reproduce this room at home of new dolls, videogames, hair and nail services - all can find all the necessary and electronic gadgets, and available to both items in the store, and give invert a period of difficulty for males and females. their home a makeover in the market and the brand. And last, at the perfect Barbie style. Barbie Cafe customers can Retail is detail enjoy a lively menu Among the more significant Key points of innovation of healthy platters, features is the Barbie gift- An entire world combining products, services, and shopping experience including seasonal Section where customers can design their own Barbie doll voucher system, and the free dishes, Italian ice- VIP-card offering discounts creams, and Barbie-style Notes on Retail Mix on the favourite activities Focused comprehensive assortment: 875 Barbie dolls drinks. provided at the Shanghai Transversal target for a historic brand Elsewhere on the premises store. VIP-cardholders who In-store visual identity based on hallmark Barbie pink is a dedicated reading-room, wish to proceed to the next 4 entertainment zones: café, runway, design centre, and health spa painted in Mattel’s patented stage earn themselves a Barbie pink, and a bedroom Barbie Pink Passport, where 18 R etail I nnovations 6 R etail I nnovations 6 19
  • 12.
    FRANCE - Villeneuve d ’A s c q (Lille) Kbane A unique retail space that sells everything required for building and running an eco-friendly home at affordable prices: products, services, and solutions for a healthy house that respects the environment Key data Format: superstore for DIY and home building, fittings Market opportunity dedicated to eco-friendly and and decorating As today’s consumers sustainable development Launched: 2009 home. The name itself is a 1,200 sqm become increasingly more 3,000 products informed and sensitive clever device that refers to the 9 in-store staff towards environmental French word cabane, which 6 main types of product and services issues, they are accordingly translates as both log-cabin Groupe Adéo (Leroy Merlin) changing their lifestyles and (nature) and tool-shed (DIY). spending habits, which has The store’s aim is to spread created new openings for awareness of products and retailers able to address the methods of eco-building and broader range of consumer specialised products and also new trend with eagerness consumption, expanding from by offering lower prices and well-known brands in the and transparency. While in the present target of green greater ease of shopping eco-sustainability sector, such many countries including architects and more moneyed under a single roof. as Volvox and Auro for paints, France, various new “green” home-builders towards a The assortment provided and Osram for lighting. Some concept stores have emerged by Kbane ties in with the manufacturers have jumped (in food and gardening, for company’s promise: 75% of at the opportunity, offering instance), in the sector of DIY the items on sale were so far an exclusive supply of certain and eco-friendly building, no not available through retail products, even launching retailer had addressed this outlets in France, for example: new items tailor-made for new demand until the launch natural clay-based paints, the store. In addition, three of Kbane. timber from sustainable brands from Adéo Group are woodland, “green” distributed in Kbane: Geolia, The concept gardening equipment, etc. Lexman, and Inspire. In France, Kbane is the only Kbane’s offering focuses on Beyond products in the retail concept outlet totally 20 R etail I nnovations 6 R etail I nnovations 6 21
  • 13.
    K b a ne - FRA N C E Retail is detail Kbane has devised a system of labelling that involves classifying them in terms of impact on four fronts: healthy, environment, It is likely that Kbane will saving/recycling, and constitute a sort of ongoing shipping miles. Similarly, workshop-outlet for the all the displays are made Groupe Adéo, where it can from natural materials and try out new ideas and learn created on-site by Kbane more about this burgeoning workers to avoid transport. market, so as to insert the more successful features Conclusions inside its mass-market stores, Kbane has defined itself such as Leroy Merlin. store, Kbane also provides more as a R&D concept store hands-on assistance and than a simple pilot project cutting-edge solutions, such to be reproduced at national as diagnosis for home energy- level; however, a second consumption, engineering outlet is planned for 2011. consultancy, workshops, and installation services. Key points of innovation Overall Kbane store presents The unique concept store entirely devoted to building and managing a highly efficient format an eco-friendly home with an accessible Products and customised proper solutions all at affordable prices merchandising approach that involves the Notes on Retail Mix consumer, provides a Assortment: 6 segments: water and air quality; insulators; renewable energy; wide range of information daily energy saving; organic garden 400 books on display on most of its products, Product labelling includes ecological impact information (health, environment, and even offers the recycling, shipping miles) chance to test them out. Amphitheatre-style layout and ecological signage Services: 500 sqm devoted to construction solutions and large-scale projects advise 22 R etail I nnovations 6 R etail I nnovations 6 23
  • 14.
    FRANCE - Paris Chez Jean A new French style convenience store concept that allows time-saving, proposes state-of-the-art service, a hybrid offer and quite aggressive prices, Key data Format: convenience store all in a modern environment Launched: 2009 with 2 stores in Paris 2010: 4 stores in Paris, 1 in Marseille and soon 1 in Toulouse 380 sqm on 2 storeys 5 staff Seating for about 60 people in snack bar/café 650 food products, 150 newspapers & magazines Joint venture with Relay (news-stands and bookstores in airports and railway stations) and Casino (hyper-and supermarkets) The concept selling-points in the food Chez Jean is a hybrid retail area, which is where Chez outlet that combines snack- Jean concentrates most of bar and grocery store with its sales, margins and traffic MARKET Given the current average of a newsagent’s, offering to through the store. The area is OPPORTUNITY 1 in 7 meals consumed away a growing quota of city- focused on solutions rather When they need from home, the French are dwellers pressed by time. than on individual products, something to eat, still far from the American This is a new way to make and provides any kind of the French are rate of 50% total of meals speedy and last minute meal (breakfast, coffee- turning more and eaten out. The French market purchases in a single break, lunch, aperitif, dinner), more frequently therefore offers interesting outlet open 7 days a week powered by dynamic, smart to quick snacks potential, particularly for until 11 p.m. Chez Jean is merchandising. For instance, and ready-made food retailers. Casino has not about “gastronomy” cakes and brioches are put dinners, which they see as recently partnered with (giving a large and deep out for breakfast and again, cheaper, quicker, and more Relay to launch a chain of choice in products,…), but later on, for an afternoon practical than a sit-down meal newsagent’s called Chez Jean, mainly about convenience break. On one side, there is in a restaurant. For this reason a convenience store concept and most of all, services. a self-service area with 650 the fast-food market increased that offers a broad range of Convenience and time- different food products and its turnover by 10% in 2008. products and services. saving are particularly strong toiletries for fast, last-minute 24 R etail I nnovations 6 R etail I nnovations 6 25
  • 15.
    C hez J e a n - FRA N C E purchases - a perfect solution for not going empty-handed to an unexpected dinner, for example. For this reason, the beverages (alcoholic and non- offices and tourism, to alcoholic) are sold chilled and gauge whether the concept ready for consumption. On managed to meet the the other side, customers can expectations of not only find an area offering carefully Parisians but also of other chosen, hot, ready-to-eat large and midsize cities in meals at very convenient France. There is now a total of prices. One such dish, “Wake- 4 stores in Paris and a bright up”, comprises new one in Marseille (125 sq a bun and a hot - opened in February 2010). drink; “My Lunch” If the pilot project catches on, boasts a sandwich- the group envisages opening roll, a dessert, and cash-machines, free wi-fi another 10 Chez Jeans within a fresh drink for a connection, and a machine the current year 2010. A new market competitive for recharging mobile phone store shall be open soon in euro 6.90. batteries on-the-fly. Toulouse (average city in the All this is made available West-South of France). Retail is in a modern, easy-going detail environment complemented Besides the by pleasant decor designed Key points of innovation by the Saguez agency, and Hybrid concept store: bakery, small grocery, café/snack bar, newsagent excellent prices, the typical French layout Modern and focused on a convenience store approach Chez Jean’s main appeal lies in the consisting of stools arranged along the window-fronts Notes on Retail Mix vast range of extra services Assortment: grocery, a very small fresh products offer, frozen meals, and products devised to affording a view of the busy drinks, fresh and ready-made meals, toiletries, newspapers, magazines, make city-life easier. Here Paris streets. books, bakery, fresh flowers people can also buy fresh Low price on ready-made meals, and aligned for groceries flowers, newspapers, best- Conclusions and other products seller books, lottery tickets, The first pilot store was 3 sales staff; 2 in warehouse and of course, champagne opened in Paris in the Free services: wi-fi access; dispenser for recharging mobile batteries; and wine. Among the various République quarter, a ATM bank-teller free services, there are ATM neighbourhood of mixed 26 R etail I nnovations 6 R etail I nnovations 6 27
  • 16.
    GERMANY Apo.take A discount pharmacy concept store, with an innovative purchasing system and intensive counter and self-service assistance Key data Format: discount pharmacy Launched: 2006 5 pharmacies (4 in franchising) From 50 to 130 sqm 300 products service in a considerably on the shelves he finds an different ambience and with array of printed cards giving a discount of 30% on all the information on the required 300 OTC products present. product. But the main difference lies in Once the customer has the way the customer obtains decided what to buy, he takes information and chooses the info-card to the counter, Market opportunity that have scored considerable what to purchase: instead where he can get further On 1 January 2004, the success. of going to the traditional information if necessary. In German government service desk, at Apo.take this way the system respects modified the laws on market The concept he is confronted with a the law by which OTC competition on the pricing The first Apo.take pharmacy self-service type layout as products must be handed of OTC products, leaving was opened right next to in a supermarket, whereby over by trained staff. pharmacies free to decide one of the group’s own instead of household goods Customers may also independently what prices I-Punkt pharmacies. Due to to apply to this category of their different positioning, product. the two are actually While many pharmacists complementary. Compared have protested against the to the more traditional and changes, others like premium-positioned I-Punkt Apo.take have responded pharmacy, Apo.take offers a with innovative approaches streamlined and functional 28 R etail I nnovations 6 R etail I nnovations 6 29
  • 17.
    A p o . ta k e - GERMANY medicine, if the product contains lactose, etc. The product categories are marked in a language that is easily comprehensible to purchase prescription short-time offers only, counter the customer (e.g. “common medicines at the counter. to the logic of a sector in cold”), and are translated The 30% discount is fixed which most purchases into four languages, German, for all the products, and cannot be planned ahead. English, Turkish, and Russian. the pricing policy of “low- By contrast, the Apo.take cost every day” has won an system of info-cards provides Conclusions ever-growing number of complete transparency on the This concept of “discount- basis. The new chain marked converts, who are increasingly discount offered, and enables pharmacy” has met with a growth of 25% in the half- turned off by the often the comparison of prices considerable success: a year 2008/09, based on the aggressive advertising of up between similar items. If the recent poll among customers 20 principal products (against to 60% discounts offered customer has spare time and recorded an approval rating an increase of less that 3% by the traditional outlets – requires further information, of 1.8 (on a scale from 1 on the general market). and particularly by online he can sit in a special lounge, max, to 6 min). After the first pharmacies – which cover where magnifying lenses one was opened, four others few products and always have are provided for studying followed on a franchising the documentation in full. This informative approach Key points of innovation addresses the ever-growing Pharmacy that works in synergy with its traditional counterpart request for customer Hybrid information system of both self-service and assistance autonomy. Notes on Retail Mix Retail is detail Focused assortment In addition to the basic Discount prices (fixed 30%) information, the info-card Basic fittings and interiors includes a FAQ section, such Info-cards on each product, price, along with FAQ data as whether it is advisable Area assigned for reading data, with seating and magnifying lenses to drive after taking a given 30 R etail I nnovations 6 R etail I nnovations 6 31
  • 18.
    GERMANY - Cologne Estella Kochlust The daily business of preparing food can become a whole lot of fun with Estella Kochlust, a store selling food and cooking utensils, where food preparation is an all-round experience Key data Format: concept store based on cooking Launched: 2009 240 sqm of daily life to spend more 1 outlet time with friends and family. Germany’s new Estella concept store aims to address that cooking is no longer kitchenware, and foodstuffs, both these two modern seen as a “chore”, given its and possibly stay for the needs, by associating the inescapable involvement various events held on-site, socialising factor with high- in family life. Created by a such as evening cooking quality food in a warm and British designer, every aspect classes. In the retail area welcoming atmosphere. of the store is devised to of around 240 sqm, the stimulate the customer to customer can find a fully- Market opportunity The concept linger on the premises and working kitchen corner, along Among the various macro- Estella Kochlust (“the take his/her time to browse with an assortment of goods trends that are rapidly cooking urge”) mainly the assortment of gadgets, picked for their aesthetics traversing the globe is sells kitchen utensils and personal well-being and a delicatessen products, but healthy lifestyle, with all its is actually a concept store various implications. One with a strong identity that of the manifestations of encourages customers to this trend is the functional, enjoy food and the art of organic and slow-food cooking as an all-round philosophy, along with experience, underscoring “cocooning”, namely, the multi-sensory delights retreating from the stresses of food preparation so 32 R etail I nnovations 6 R etail I nnovations 6 33
  • 19.
    E ste l l a - GERMANY Each lesson costs from euro 55 to euro 80 per person, but this in-store event has already garnered a steady following. Retail is detail What makes this concept and practicality. The utensils authentic Mediterranean store different from the and tableware are a mixture cuisine. In the gourmet traditional food retail outlet of handcrafted items – with section, many of the products is the amount of care and ethnic products such as the are from far-away places, passion conveyed in every traditional tagine earthenware such as the range of olive- detail: the information on cooking pot from North oils and the kind of spices each product and its origins, Conclusions Africa – and others of more often used in the cooking the design of the store itself, Given the concept store’s modern design. To motivate demonstrations, artfully the names given to the success, there are plans the customer and guide him arranged to give “inspiration” cookery classes, and the to open other stores in or her in the preparation of to the act of cooking. excellent customer service. Düsseldorf and Münster. recipes, there is a section The evening cooking demos of books devoted to the run twice weekly and are attended by a maximum of 16 participants. The themes change each Key points of innovation time, and have alluring titles Mixture of sales, gastronomy, and hands-on cooking experience such as “Marrakech, tagine, World of assortment tuned to the shopper’s experience: preparing, cooking, and argan oil – an evening serving, and eating packed with flavour!”, or “Cook & Chill & Pastabasta”. Notes on Retail Mix At the end of each session Assortment: kitchen utensils, cookery books, national and international foods (wine, spices, biscuits, chocolate, tea, pasta, pesto…) the participants can dig in to Mixture of handcrafted and modern kitchenware platters prepared on-site by Lively and stimulating interiors the gourmet teacher-chefs. Services: evening demo classes with gourmet chef 34 R etail I nnovations 6 R etail I nnovations 6 35
  • 20.
    G R EAT B R I TA I N - London National Geographic A visually thrilling retail Store that deploys assured and engaging devices to convey the multiple activities and mission of the National Geographic brand and the adventure for the customer starts in this multi-sensory, continually changing environment Key data Format: flagship store The Society decided that Launched: 2008 the next stage was to create 1,800 sqm 10,000 products a physical meeting place 40,000 visitors per week for existing and potential customers, and opened this thrilling, multisensory flagship National Geographic Society store that encapsulates the through a broad range of mission and the core values products, services, and S of the National Geographic Society. projects, in an environment of extraordinary visual impact and coherence. THE CONCEPT The Store offers a vast MARKET OPPORTUNITY The National Geographic selection of National For over 122 years the Store is a modern and Geographic branded National Geographic Society innovative space, a unique products, alongside a has enabled the public to platform to interact with the selection of handmade items discover the boundless customers and to convey the in limited edition. marvels of the world about force and the credibility of the The furniture presents an us, applying its eclectic mix in various styles hallmark rigour with strongly ethnic accents and quality, and and evolves over time, engaging generations because each element can of its international also be purchased. The space readership. includes furthermore a Café, 36 R etail I nnovations 6 R etail I nnovations 6 37
  • 21.
    N a t i on a l G eog r a p h i c - G R E AT BRI T AI N whose menu represents Geographic explorers, the occasion for “travel” authors, and photographers, into other cultures, through and also runs free film the flavours of recipes that screenings. The Gallery originate in the five assigned for exhibitions Retail is detail Conclusions continents of the hosts a turnover of the Customers can also test out The London store has globe. The choice most representative objects their clothes in a special already won several Awards. includes organic from the various National Testing Room, with strong Following this store, the foods tied to Geographic projects and gusts of wind, sudden drops National Geographic Society healthy dishes and the work of the publisher’s in temperature, and other has opened a second one in slow-food dishes, contributors. The space is also extreme conditions typical of Singapore, and the expansion with a selection available for Corporate and the National Geographic-type scheme envisages new retail each month Private Events. of adventure travel. outlets on a smaller scale dedicated to a In keeping with its mission In the Café, the approach (400–500 sqm) in the major specific country. to inspire people to take is educational: advice on cities in Europe and Asia, and At the same time care of the planet, National maintaining a healthy diet, in airports. the menu also Geographic has built its and information on each of In 2010 they expect to open offers typical flagship store with eco- the foods and their place 20 new retail outlets, starting local fare, so as to show friendly design elements of origin. Extras include with Spain, Indonesia, and their willingness to foster and has inserted a series encounters with schools and India. and preserve diversity of the of further sustainable and families to explain what it world. ethical approaches in the means to observe healthy The auditorium hosts daily activities of the store. eating habits. events and conferences with the renowned National Key points of innovation Cultural flagship store that endorses the values of the National Geographic Society Multisensory space in continuous evolution Notes on Retail Mix Assortment: clothing, footwear, eyewear, stationery, maps, toys, watches, household furnishings, and a vast selection of National Geographic products, including its world-famous magazines, books, and DVDs, accessories, bags Services: kids area; test area for clothing items; program of events, meetings, conferences, exhibition area, gallery area Restaurant with various types of multicultural cuisine and healthy food 38 R etail I nnovations 6 R etail I nnovations 6 39
  • 22.
    G R EAT B R I TA I N - London Swarovski Crystallized™ lounge A stylish and fascinating environment in which jewellery blends with design, culture, events, and customers are enabled to experiment with customising Key data their own jewellery with world-famous Swarovski crystal glass creations Format: concept jewellery store Launched: 2008 4 stores (London, New York, Shanghai, Paris) 300 sqm positioning in this segment, which it is now reinforcing by moving into retail with the creation of a series of highly innovative Crystallized Lounge elements are showcased in the various crystals can be flagship stores. These boast a all their variants in the form applied include necklaces sophisticated and appealing of individual components, and bracelets in various environment that offers a enabling customers to materials: silk, leather, or broad range of opportunities choose pieces and combine metals. The display cases for customers to personalise them to create their own include creative concepts Market opportunity their jewellery, and to apply jewellery. Staff remain at a from famous designers in a Recent research conducted Swarovski crystals onto discreet distance to allow variety of executions, such in the UK has shown various garments and other customers to browse freely as an exclusive tee-shirt that consumers who buy accessories. and experiment with the by the Delhi-born designer jewellery increasingly prefer products at leisure. If anyone Manish Arora, decorated with top-quality, one-off pieces The concept has a question, staff are there figures of deities and animals to cheap “disposable” The concept behind the to assist, otherwise visitors composed entirely from items. The British market Crystallized store is to entice can take as long as they Swarovski crystals, on sale for in personalised jewellery customers to enter and wish to peruse row after row £125. is estimated at £350–400 explore. For many adults who of display cases, each one The store also offers the million per annum, and venture into the store, the containing crystal elements chance to linger and relax continues to grow. Swarovski shimmering world that meets of a slightly different shape, with a coffee or glass of has steadily improved and them is like a childhood colour, or finish. champagne on sofas in strengthened its market dream come true: the crystal The basic products to which the second-floor lounge, 40 R etail I nnovations 6 R etail I nnovations 6 41
  • 23.
    S wa r o v s k i - G R E AT BRI T AI N Conclusions where there is also a space the quality of the jewellery Swarovski Crystallized devoted to exhibitions and and crystals, by means of an Lounge is a highly innovative customer events, often tied to innovative use of Perspex concept, a destination store London’s fashion scene. Due and mirrors throughout the that successfully presents to a partnership with London store, whereby the display Swarovski crystals in a Fashion Week, the store cases housing the crystals distinctly contemporary way. carries a display of haute- permit customers to browse The company’s collaborations couture items decorated with and select them by colour with the designer and fashion Swarovski crystals. and shape, ready to apply worlds give an added note onto their personalised of freshness, creativity, Retail is detail jewellery, or to decorate some and underline Swarowski’s The lighting of the interiors is other object (often mobile increasingly fashion-oriented carefully designed to highlight phones). The choice is made perspective. easier by the categorisation of elements according to themes, such as popular, Key points of innovation Bohemian, avant-garde, Opportunity for customers to personalise their purchases Concept store with events area and lounge bar luxury with precious metals. Each style is highlighted by Notes on Retail Mix an appropriate display to Assortment: Jewellery, Accessories give customers ideas for Prices: from medium to high their personal creations, or to Space: innovative materials that create a light show indicate ready-to wear items. Events: collaborations with fashion stylists and designers 42 R etail I nnovations 6 R etail I nnovations 6 43
  • 24.
    G R EAT B R I TA I N - London Recipease The challenge that Recipease has set itself is to encourage would-be cooks to create healthy and rapid meals and learn the pleasures of cooking, aided by the expert advice of the nation’s best-loved chef Jamie Oliver Key data Format: convenience experiential store 2009: first store in London consumers from simply 2010: second store in Brighton having an interest to actually 230 sqm doing it, particularly the under Founded by the famous British chef Jamie Oliver 40s. The food industry needs to convince consumers that convenience can still be healthy, allows them to add neat combination of “recipe” The well-appointed in a touch of creativity into and “ease”, Recipease demonstration kitchen area food preparation, and is not conveys the simple formula hosts a varied programme too time consuming. A new of creating dishes that are a of events targeted at both venture, Recipease, sees this cinch to learn. In the store, total beginners and seasoned as a retail opportunity. which covers 230 sqm, cooks. These courses can be Recipease is the latest food customers are presented booked online or in the store Market opportunity venture by British celebrity with an array of lifestyle itself. The “Easy to Do” dishes Today, the British public chef, Jamie Oliver. The products such as cookbooks prepared in 10 minutes, can have adopted the idea of concept revolves around and kitchenware in addition be either taken out or eaten ‘convenience eating’ with a one-stop-shop where to food, condiments and on the premises. A similar enthusiasm. Television consumers, whether novice wine. This merchandise is option is offered in the “Easy programmes about cookery or more experienced “chefs”, premium positioned, the to Learn” courses, featuring and featuring celebrity can cook the ingredients products and packaging are slightly more advanced chefs suggest that people’s they buy under the guidance of high quality, come from recipes. If one decides to interest in food and cooking of professionals and even sustainable sources and all eat in the store, these are is increasing. However, the sit and eat their creations packaging is fully recyclable accompanied fine wines. challenge lies in converting in-store if they wish. With its and compostable. It is also possible to book 44 R etail I nnovations 6 R etail I nnovations 6 45
  • 25.
    R ec i p e a se - G R E AT BRI T AI N the venue for private parties featuring a group cooking lesson and ending with a communal meal in the Conclusions store. Forthcoming plans include opening new Recipease Retail is detail stores, and widening the The interiors of the JME brand to include new stores are particularly categories such as home appealing, and are textiles, garden, bathroom styled to resemble a and children’s furniture large country kitchen, as well as lighting. In the with warm lighting immediate future, the plan is in each area, and an to continue to improve the easy-going, family ambience customer experience, and in which cleanliness is to refine the offer, based on paramount. and tips for the future, with direct customer feedback. The staff are extremely the aim of increasing local welcoming and trained to community involvement, and get feedback from customers to encourage visitors to share ideas, recipes and tips with others. Key points of innovation Rapid, healthy, and sophisticated recipes for meals at an accessible price Integration of product purchase, food consumption, and education Notes on Retail Mix Assortment: food, wine, ready-made meals, books, cooking utensils Excellent price/quality ratio (£10 for a light meal for two) Services: internal dining area; classes for healthy and quick cooking; opportunity to hire venue for parties; team building; etc. Refined but informal atmosphere Events: theme-based evenings 46 R etail I nnovations 6 R etail I nnovations 6 47
  • 26.
    INDIA - New Delhi Graavaa The first Indian flagship store devoted to marble and natural stones created to respond to the growing needs of high-end consumers for a quality shopping experience Key data Format: brand store Launched: 2009 first flagship store in New Delhi 450 sqm Market The flagship store offers a vast opportunity range of materials sourced Although the from all over the world, and consumer culture in is integrated with a design living-rooms, kitchens, and provided in an interactive India is undergoing studio, along with expert bathrooms, to give a clearer zone, where a qualified rapid advances, installation and product impression of the final effect staff supplies details on retailing itself – even maintenance service. The of a given project. On the each product, with turnkey in a high-end sector name Graavaa comes from upper level, which is accessed solutions and/or added value such as fine natural the ancient Sanskrit word via a subtly unobtrusive services, enabling decisions building stone – is still for “stone”. This reference to “floating” glass staircase, a to be made in a relaxed way behind. The birth the traditional values of the comprehensive presentation atmosphere. This area boasts of Graavaa, an elegant, materials is endorsed by the of the huge assortment is an interactive screen giving welcoming and company’s logo and visual offered, arranged in a wide in-depth information on the specialised flagship identity, recalling stone’s variety of formats and hues. entire range of available store, has been durability as a surfacing Customer assistance is products, with a system of greeted with enthusiasm by material. high-end customers in India. Inside the store the display of the various types of The concept natural stone follows both Graavaa is a trademark of the standard arrangement the Pearl Mineral Group on the walls and also on specialising in high-quality the floor, complemented by marble and natural stones. environments that simulate 48 R etail I nnovations 6 R etail I nnovations 6 49
  • 27.
    G r a ava a - I N DIA Conclusions Graavaa has attained a leading position in its field by offering a new way for customers to purchase natural stone products. The flagship store, the only one image rendering to simulate of the product in its natural of its kind in the country, the final effect of the various state. In the display areas a has received a great deal materials as applied to spaces system of sliding units enable of media attention and has reproduced from photos the customer to “browse” been highly successful. The provided by the customers through the large plates of second flagship store is themselves. stone positioned mainly on due to open in the Punjab the walls, while displays region before the end of arranged fan-wise facilitate 2010, and aims to expand the direct comparison of with a network of 50 stores different material. A test throughout the country within bench in this area allows the next 5 years. customers to view the stone under different lighting conditions. For each stone type, a variety Key points of innovation of information is provided An experience of luxury on its origin, properties, Innovative and engaging display systems applications, and availability, illustrating Graavaa’s global Notes on Retail Mix supply. The store aims Assortment: 150 varieties of natural stone sourced from all over the world Retail is detail to instruct customers to Services: design lab, delivery, installation, and maintenance The eye-catching and recognise the different types Staff: highly trained personnel who closely follow the entire sophisticated design of the purchasing process of stone, and also offers Display layout: prompts customers to interact and choose for themselves store’s façade consists of a advice on maintenance. cage of curving steel elements inspired by the organic forms 50 R etail I nnovations 6 R etail I nnovations 6 51
  • 28.
    I taly - Grandate (Como) Chicco Village A haven for toddlers and young parents with delights ranging from new product lines to the Rocking-Horse Museum, with a unique medley Key data of products, learning opportunities, and customer facilities Format: family retail area 2008: launched 2,000 sqm: Chicco Store 1,000 sqm: play area around a chain of mono- 250 sqm: Pic Store brand stores and now the 200,000 annual receipts Village heralds a new step in the firm's brand positioning through its chain of retail outlets. THE CONCEPT The Chicco Village project involves products, resources, and learning material for kids in a retail area connected directly with the production MARKET OPPORTUNITY unit itself. Rocking-Horse Museum through the building. Today, products branded This includes a Chicco installed in a converted Owing to its size, the Chicco especially for kids are megastore, the first Pic Store riding-stable. megastore can offer a far increasingly expected to specialising in infant medical To ensure that these functions wider range of products than provide a solid design products, an Illy café, an dovetail together, the firm’s the individual high-street philosophy rooted in a ample play-area, a private Retail Design studio’s premises normally allow, genuine passion that will help nursery, and the appealingly colourful “open and the seven main parents with the absorbing arcade” welcomes visitors categories of product task of helping kids grow in into a complex in which each are arranged by a balanced way. For the past of the spaces has its own age-bracket, following a fifty years, the Chicco brand separate entrance, transversal, has fashioned its trademark allowing free circulation customer-oriented logic. 52 R etail I nnovations 6 R etail I nnovations 6 53
  • 29.
    C h i cco V i l l a ge - I T AL Y with the new baby. that attracts people from Presently, there are plans a wide catchment area. to set up pre-natal Recently the megastore’s exercises and events focused concept has been on the well-being of the enhanced with a temporary mother-to-be. location assigned The product assortment is where the kids can play and especially for kindred regularly updated with amuse themselves. CONCLUSIONS brands with products that new-arrivals, and it is possible On the same floor is a space The Chicco Village has rapidly tie in to the Chicco’s brand to purchase discounted that can be reserved for become a destination centre philosophy. items from the previous birthday parties for toddlers, season’s offering with four coloured houses in the that can be customised Outlet area. with the name of the one The ample client celebrating his/her birthday. facilities include a spacious Retail is detail and comfortable Chicco’s brand philosophy nursery. is also conveyed in a special The signage area in the shop where is astutely patrons can mix and meet designed adding each other, or follow free to the shopping courses for parents on experience and the general questions of pregnancy, Key points of innovation fluidity of the complex. breast-feeding, and how to Range of inter-related functions tied to children’s growth On the first floor is a play park deal with returning home Products arranged by age-bracket rather than by type Notes on Retail Mix 7 Chicco Store merchandise categories: clothing, footwear, basic childcare, intensive childcare, toys, fornitures, books and colouring kits for children. Services: Baby Card, Gift Card, Personal Shoppers, birth-list 54 R etail I nnovations 6 R etail I nnovations 6 55
  • 30.
    I T ALY - Milan Diablo Rosso Pirelli For its first temporary store Pirelli chose Milan – the Italian city with the most scooters and motorcycles – to show how a change of tyres can be a pleasant and positive brand experience, in line with the Group’s market positioning Key data surroundings of a tyre-store Format: pop-up store or a mechanic’s workshop. Launched: 27 May – 7 June 2008 With their new project Diablo 250 sqm Rosso Store, Pirelli has made 6,000 visitors a breakthrough, radically changing the customer’s experience by creating an The concept with a DJ and fashion models. environment characterised During the twelve-day The area where the actual by Pirelli brand features such opening period, customers change of tyres took place as technology, passion for were able to buy a new was situated right in the sports, performance and style. set of tyres and have them window-front so as to attract The idea also spotlighted the fitted on-site, just like in a passers-by, highlighting a new Diablo Rosso product, a “normal” tyre sales outlet. product that is usually hidden MARKET OPPORTUNITY supersport tyre suitable both In the evenings, special away in the darkness of the Getting a change of tyres is for town use and for sports, entertainment events were garage, now transformed as a vital ritual for motorcyclists with either naked bikes or staged (opening party, with an “asset” worthy of being – a moment of affection, sportbikes. an exhibition of work by showcased. During the tyre- and also of rebirth in a the young photographer change, a Pirelli technician way, a means of renovating Rapdour, a community travel was always present to answer one’s bike at both evening, Diablo Rosso party, queries about types of tyres technological and Ducati party, and Superbike and how they should be performance levels. Magazine party). used. The store prices were A change of tyres is In the store itself, free drinks aligned with the averages in usually done in the were available (though no Milan, and the service was fairly uninspiring alcohol during the daytime), provided in cooperation with 56 R etail I nnovations 6 R etail I nnovations 6 57
  • 31.
    D i a b l o R osso P i r e l l i - I T AL Y Italy to the “temporary” retail concept, and has quickly become a point of reference in the city for the type of consumers who likes to keep up with innovations. Conclusions Milan’s Corso Garibaldi is an During the 12 days in which area with a high quota of the store remained open it design studios and fashion registered a visitor turnover venues, and Pirelli exploited of around 6,000 people, the occasion to promote its peaking during the Diablo the well-known Milanese own fashion lines and PZero Rosso inauguration party, operator Pneusmania. watches – brand extensions which was attended by the Motorcyclists were informed created to enhance the company’s top management. of the limited-period offer concept of “Pirelli Style”. The principal goal achieved via email, billboards, internet The project by the MP Group was greater visibility, and banners, and through the also included a small red excellent coverage in the press. salon in postmodern style to media. foster socialising among the Retail is detail visitors – musical aperitifs Enhancing the project was and conversation being two the choice of location, a of the features that Pirelli space dedicated to Sidecar identified with the motorcycle Events, which first introduced community. Key points of innovation To highlight a product and insert them in an appealing, trendy ambience Notes on Retail Mix Prices aligned to local averages Complete range of Diablo tyres, clothing, and accessories Technical assistance for tyre-changing Staff: 2 mechanics, 1 technician, 1 administration, 2 fashion models, 1 DJ (for the evening) Target: owners of naked bikes and supersport motorbikes residing in Milan 58 R etail I nnovations 6 R etail I nnovations 6 59
  • 32.
    I taly - Livorno Sconto Maxi A new concept of supermarket which makes grocery shopping quick and easy, through a dual approach involving a general food store where customers scan Key data their own purchases with a bar-code reader (or order online), and find the goods Format: neighbourhood supermarket ready for them when they reach the check-out with their trolley of fresh goods Launched: 2008 250 sqm: total area of sales space 900 sqm: warehouse space assortment of goods in a 2,700 grocery items small and manageable space, 8 staff (2 part-time) 2009: 3,5 million Euros turnover customers are fully satisfied, while the retailer avoids the restrictions imposed by the In this way the assortment Italian law on stores of over of 2,700 items takes up a 300 sqm. mere 100 square metres of floorspace, instead of the The concept usual 1,300 required for a Conceived by an independent standard supermarket. entrepreneur, Sconto Maxi The order method employs is the first supermarket in the classic self-scanning Europe to launch a system of system: the product on purchasing that differentiates display remains on the between general groceries MARKET OPPORTUNITY and fresh food. shelf, and is simply scanned In today’s cities, time and At the entrance the customer with the hand-held optical transit between places takes an optical reader that reader, which records the are critical factors in the makes an ongoing tally of the price and quantity. individual’s daily schedule, groceries, without needing The bar-code reader so any new ideas for to put them in the trolley, displays the price of the simplifying and speeding up because the products on the desired item, along with the the job of buying groceries shelves are only for display subtotal of the purchases are bound to be a success. purposes (usually two for made so far. At the end of If, as in the case of Sconto each product to ensure visual the grocery area is a row Maxi, a store provides a wide impact). of consoles where the 60 R etail I nnovations 6 R etail I nnovations 6 61
  • 33.
    S conto M a x i - I T AL Y items), and leader brands. Retail is detail Conclusions This system avoids altogether Thanks to the simple, speedy the break of restocking and innovative purchase shelves, due to the logistics procedures and the excellent of the sales point. In the case price/quality ratio, even customer plugs in the reader The other categories are of a short wait for the arrival though the supermarket and checks his final order and all self-service, fruit and of the groceries, there is a is located in the outskirts can make vegetables are chosen and special area appointed with of Livorno and involves last-minute changes. weighed separately on vending machines distributing comparatively little advertising Once the order is confirmed, the available scales. snacks and hot beverages. outlay, its fame has spread it is relayed to the warehouse, In general, by the time the Alternatively, customers can quickly by word of mouth. where a team assembles customer has picked his fresh purchase online and collect The turnover for the first year the purchases into bags, goods the warehouse team their shopping from the reached 3.5 million Euros, using software has finished making up the store during closing hours or and is expected to grow that automatically bags of groceries and has during the lunch break. One also thanks to the increase assigns separate sent them to the check-out, important economic detail in online sales with in-store bags for the where the customer is billed not to be overlooked is the collection. food goods and for both the groceries and the drastic reduction in theft, toiletries, etc. fresh food together. which stands at around 3% The customer The aggressive pricing is in retail turnover in Italy. meanwhile made possible by an alliance proceeds to the with a national purchase Key points of innovation next area, where he group, and follows a policy of Swifter and more convenient shopping: wide assortment in small sales area can take a trolley little advertising and special Flexible shopping: standard, or online with collection at the store and buy fresh food. offers every day, contrary to Notes on Retail Mix The only department that the general trend. Compact display layout offers over-the-counter The assortment is simplified, Essential assortment for each category: first price, private label (150 items), services is the butcher’s, with three prices brackets and leader brands. which is run by an outside for each category of item: EDLP (every day low price) policy partner company. first price, private label (150 Services: online ordering, with collection at the store; restoration area 62 R etail I nnovations 6 R etail I nnovations 6 63
  • 34.
    I T ALY - Bologna Spazio Ambasciatori Food as culture and culture as food: a retail area strong in social interaction, deep in the heart Key data of Bologna’s historic downtown Format: books and quality food concept store Launched: December 2008 1,500 sqm: Coop Bookstore 70%; Eataly 30% 140,000 books; 66,000 titles First year involvement in historic - 850,000 visits downtowns, which have seen - 170,000 book receipts a steady dwindling of cultural - 84,000 food receipts events and shops. The present - 500 events situation therefore marks an Key data of Partners interesting opportunity for 20 Coop Bookstore in Italy retailers, who are now in a 5 Eataly outlets worldwide position to open stores in the city centre, in partnership years. Their scheme involves cultural events scheduled with local authorities in the winning combination of throughout the day: the urban renewal schemes. In a Librerie.Coop bookstore venue opens at 8 a.m. MARKET OPPORTUNITY the present case, the Coop and the internationally (10 am on Sundays) and In many cities up and Adriatica won its bid for the acknowledged gourmet food closes at midnight. The down the Italian peninsula, rehabilitation of an important retailer Eataly, which has street-level area is assigned the public has expressed historic building in Bologna rapidly established a new to the more on-the-run a growing need for more that had stood empty for benchmark for high-level services and offers an area gastronomy. for meetings devoted to literature and the arts, The concept plus a combined snackbar Spreading over a space of and pastry-shop, “Caffè di some 1,500 square metres Eataly”. on three storeys, the Spazio The spaces upstairs host Ambasciatori offers a books on travel and combination of food, books, exploration, while the and socialising around nearby “Trattoria di 64 R etail I nnovations 6 R etail I nnovations 6 65
  • 35.
    S pa z i o A m b a sc i a to r i - I T AL Y Eataly” offers a variety of appointments and cultural simple traditional Italian events focuses mainly on menus developed in close book-presentations and collaboration with the gourmet sessions held by authoritative Associazione renowned writers and chefs, the 14th, 18th, and 19th Conclusions Slow Food organisation. but also promotes concerts, centuries), which the modern The Spazio Ambasciatori On the top storey, an area for kids activities, and innovative installations have managed project has successfully books on the natural ideas like the “Librai per to integrate, such as the tackled the classical type of sciences alongside caso” event, in which people open-backed shelving that co-retailing: by integrating the children’s books from diverse occupations reveals the rough original on all three floors the dual section is installed (journalists, businessmen, walls behind, while the offering of food and culture, within the “Osteria or professionals) with a modern lights in the cafeteria the customer’s overall del vino e della birra”, common passion for books have a handcrafted appeal. shopping experience is a pub/winery run and reading are invited to Similarly, the chairs are in the notably enhanced, while by Eataly, where in share their notion of the ideal classic Italian trattoria style, favouring social exchange addition to stopping book collection. but made from aluminium. and also impulse purchases. for a bite to eat, Another distinctive feature of The triumph of the customers can Retail is Detail the centre is the skilled staff, enterprise’s first year is the purchase a selection The innovative project has whose capable approach well-earned reward for this of beers and wines. been devised by the Retail to assisting customers adventurous multi-target and A large skylight affords an Design studio. comes from special training “situationist” concept store, unusual view over the old The building in which the programmes held by the which has attracted a cross- buildings that grace Bologna’s Spazio Ambasciatori is Coop School and Eataly. section of the public in terms superb historic city centre. berthed boasts numerous of both age and occasion for The Spazio Ambasciatori’s traces of its long ancestry visiting. daily calendar of (including details from Key points of innovation Food and books: high quality, low snobbery Strong in-store integration between food and books Differentiated food offering for diverse occasion for the visit Notes on Retail Mix Product assortment: books, stationery, traditional italian gastronomic products, high quality food Catering variety: cafeteria, trattoria, pub Staff trained in special schools 66 R etail I nnovations 6 R etail I nnovations 6 67
  • 36.
    SINGAPORE Action City How to invent, launch, and keep new intergenerational cult-objects appealing: a concept store with a story-telling staff and social media integration Key data Format: concept store for toys and cult-objects stimulates purchasers through Launched: 2000 16 stores a lively and inviting shopping experience that works at several levels. to an innovative design object, suggesting other ways The concept team it has created gadgets to enjoy it to the full, such as Big Box International is that have become authentic using one’s sense of smell or an integrated group that cult-objects among both touch. operates in the Asian market youngsters and adults. Additional presentation Market opportunity in the toys and games sector One particularly successful support for the products Today’s retail outlets devoted with interrelated activities gadget is the “Breadou”, comes in the form of to games-gadgets-gifts are that include the development a line stress-relievers for sophisticated videos shown often disorderly, jumbled and of new products, bulk all ages in the form of to customers, but key input unattractive, whereas the trading, and direct retail. With confectionary (bread-rolls, is offered by the store expectations of the customers Action City, the group has croissants, doughnuts and in this type of product are successfully created a strong so on), made from NASA- becoming increasingly brand ID around the concept developed memory rubber sophisticated. The Big Box of play that involves diverse foam, and sold in displays International group with categories of product: thanks that resemble those of a their Action City concept typical bakery or cake-shop. has taken the lead In each case a wobbler label with its carefully fixed to the shelves or the gauged offering product explains some of the that attracts and less-obvious properties of the 68 R etail I nnovations 6 R etail I nnovations 6 69
  • 37.
    A ct i on C i ty - S I N G AP O R E personnel, who are trained Conclusions to wow the public with their The results are substantial – are plans to reach another product presentations. Breadou alone sells around 20 in the coming five years 10,000 units per month, and (including Dubai, China, Retail is detail the online fan club has hit the India, Philippines, Thailand, Besides its strategy of widely 40,000 mark. Indonesia, South Korea) targeted advertising, Action The group’s international through franchising City is present on all the sales has expanded to cover and direct retail outlets. main social networks on the 10 countries so far, and there web, and maintains close interaction with users and with its growing fan-base, Key points of innovation which has spawned Products highlighted in-store through trained numerous related blogs. storytelling staff Another way that fans Innovative toys styled on current trends and daily can meet up and share situations the fun is through the Strong interaction with social media and creation many exhibitions and of online fan-base events, such as the Singapore Toy & Comic Notes on Retail Mix Convention, which Ample assortment with innovative products In-store information with wobbler labels and videos besides generating Enthusiastic staff dressed in “play-suits” in line commercial contracts with with brand ID other operators, have become one of the leading attractions for end-users. 70 R etail I nnovations 6 R etail I nnovations 6 71
  • 38.
    SINGAPORE Food Republic The classic mall food court revamped: Food Republic offers a variety of spa- arranged by theme, followed with art-objects that can be ces each with a distinctive identity but integrated within a formula that offers by the demos of the food handled and “felt” by the a multi-sensory experience of high-quality eating, and whose format being prepared, which are diners. As for the elimination can be applied to diverse locations then served up with a dash of unwanted smells and of showmanship. Tactile noise, Food Republic has input comes in the form of deployed state-of-the-artir air lack of character, the déja-vu the fittings, which are made purification plants that extract menus, and the generally with different material for cooking smells but leave the mediocre fare proposed. each dining area. The menus aromas and sounds of the Food Republic has therefore show a touch of creative food being prepared in each decided to launch a new pizzazz with 3D graphics, area. concept of food court that and each table is decked aims higher and offers a more attentive identity, closer to that of the restaurant. Key data The concept Format: food court Market opportunity Each separate eatery or stall Launched: 2005 The type of food court found within the food atrium has 33 food courts (China, Singapore, Malaysia, Hong Kong) in most shopping malls its own unique theme, while From 1,400 to 3,000 sqm around the world, including at the same time echoing Asia, usually comprises a set the integrated identity of the of specialised units which concept as a whole: from together offer wide variety the display of food to the of foods and ethnic cuisines. type of tableware, from the Until now, customers have furnishings to the staff and appreciated the convenience, their uniforms. speed, and simplicity at The aim of the concept is to affordable prices, but there provide an all-round package is a rising number of people of sensory stimuli, starting who are dissatisfied with the with the eye-catching décor 72 R etail I nnovations 6 R etail I nnovations 6 73
  • 39.
    F oo d R e p u b l i c - S I N G AP O R E Retail is detail Three huge LCD screens broadcast in-house infotainment Conclusions programmes, while at Despite the financial crisis, every corner touch- in 2009 Food Republic’s screen monitors supply turnover grew by 15%, and nutritional data and the chain expects to have tips on matching food 39 locations by the end of with beverages. 2010, continuing to vary In one location, an its format by adapting it to experiment is under each new location, such as way with an electric the spectacular Food Opera, And then there is the taste food-stall driven by a hostess, which recently opened in factor: Food Republic who serves chilled drinks Singapore. pledges to observe the directly at the tables. Overall highest standards and quality the concept provides a controls, whereby all food customer-oriented service is tested every week for with friendly personnel, excellence. who are also trained in the aesthetics of food Key points of innovation presentation, and can offer Top-quality food court with a strong integrated identity creative advice on the menus. Versatile format that adapts to the specifics of each location Notes on Retail Mix Broad choice of styles of convenience dining (fish gourmet, Japanese, Korean…) Multisensory ambience and stylistic consistency, from the décor to the staff uniforms Customer-oriented service with intensive staff training programmes Electric beverage cart driven by hostess Events: competitions between operators, with journalists as judges, which generates wide media coverage and articles that the operators can use for in-store authentication Communication: in-house TV infotainment programmes, and touch-screen info-points giving food tips (matching drinks/food, nutritional values, etc.) 74 R etail I nnovations 6 R etail I nnovations 6 75
  • 40.
    S PA IN Tous A new concept of a jewellery store that combines luxury with fast-fashion in a modern and upbeat environment that offers a strong wow factor Key data and a multi-channel shopping experience Format: jewellery store Launched: 2009 150 sqm Data on Tous Launched: 1920 375 sales outlets, of which 98 are shops-in-shop trend by reinventing 2008: 300 millions euro turnover the traditional idea of jewellery and the the chain launches 30 new more feminine and vintage, jewellery store. collections each year. and is divided into four zones In 2009 Tous created a new according to the products The concept concept store which, taking offered, with an easily The Tous chain dates its cue from the identity of navigated internal layout and back to 1920, and today the preceding format, aims versatile display systems by boasts 375 outlets (of to improve the shopping which the shelving doubles which 98 are shop-in- experience for the customer up as counters for showing shops) in 42 different by offering broader service. products when the store is countries. The assortment Covering 150 sqm, the new crowded. proposed is very wide in store has a revamped look, Market opportunity scope so as to embrace a Recently the jewellery market variety of different target has seen a rapid rise in the groups, with a strong accent demand for a format based on “inspirational style”, which on the concept of fashion- proposes fashion-jewellery at jewellery and accessible accessible prices. The chain’s luxury. With its new concept success was cemented store Tous, the Jewelery further with the introduction Company has found an to this sector of the concept effective way to tap into this of fast-fashion, and currently 76 R etail I nnovations 6 R etail I nnovations 6 77
  • 41.
    T o u s - S PAI N including repairs to jewellery, intensive training for the personnel, which is accessed via an online “mystery shopper”. Also provided online is a full training schedule for the sales staff. With this new concept store, Tous has endorsed its brand identity, completing the atmosphere generated by The spacious entrance foyer to enable a closer the layout and display with accommodates all the silver examination of the detailing. Tous fragrances and Tous and costume jewellery, Another zone is delegated music, ensuring a fluid and displayed in a way to foster for accessories, a category homogeneous ambience. and in 2010 expects to open customer interaction, thanks that Tous had expanded to another 57 stores, many of to the affordable price include sunglasses, key-cases, Conclusions which will adopt the new shown with attractive clarity; luggage, handbags, perfumes, Tous is continuing its plans format, which has been owing to its layout, this area objects for the home, and for international expansion, convincingly successful. encourages customers to also sports items. Lastly, the move with ease, zone at the back of the store choose their items is assigned for more special themselves, and purchases and for the best Key points of innovation move on toward clients, who are greeted with A “liquid” jewellery store: multi-target, with a range of purchases Transfer of the fast-fashion concept to the jewellery category the checkout, and a cup of coffee or a glass of hence requires champagne, so as to render Notes on Retail Mix no staff. A second the sales operation more Assortment: ample, deep and targeting various types of shopper, from section is reserved empathic. classic luxury to accessible luxury for more expensive Fast-fashion approach, with the launch of 30 new collections each year items made of Retail is detail Services: specialisation in jewellery repair gold and precious One of the primary concerns Empathic, customer-oriented staff stones, displayed for Tous continues to be Convenient layout with areas the prompt purchases on the move in elaborate customer satisfaction. For this Displays devised to make products more accessible showcases reason the company offers Speciality Tous fragrances and music (brand ID) provided with exceptional service both magnifying glasses during and after the sale, 78 R etail I nnovations 6 R etail I nnovations 6 79
  • 42.
    S PA IN - Barcelona Danone Store For its first brand store, Danone returns to its Catalan origins and creates a space dedicated to its consumers to recount its history and the constant innovations of the product, to promote trust in the brand, to illustrate the beneficial properties of Danone products and encourage healthy eating and living habits the city where the company started up in 1919. In the Key data retail area, alongside its Format: brand store leading products, Danone Launched: 2009 recounts the history of its 340 sqm unstinting commitment to improvement with a section of information regarding diet and healthy eating, two of the lettering. The style is futuristic with a good price/quality Market opportunity company’s key themes in the throughout and the decor ratio. To the left lies the These days, major brands are past few years. follows the brand’s hallmark brand museum dominated responding to the greater white-and-blue colour by one of the original old need for direct physical The concept scheme. The 340 sqm of delivery vans used in the old contact with consumers as a The Danone brand store floorspace is divided into five days, where customers can means of involving them and faces on to the Diagonal, distinct areas. At the entrance browse and purchase historic listening to them, trying out one of Barcelona’s strategic is a yogurt bar, a tasting area Danone adverts and signs. In new products and providing thoroughfares, with a lively where customers can mix the Yogurt Museum, thanks an all-round vision of the frontage dominated by and match different products to a bank of interactive brand’s values. For its own the company logo in giant with an ample choice of displays visitors can have response toppings. Nearby is the fun exploring the history of Danone has snackbar realised in tandem yogurt and Danone’s own decided to with a Spanish partner, where story, with its fundamental open its first the menu is attentive to policies of health, R&D, and brand store nutritional values and offers communication, following the in Barcelona, certain unusual proposals history of the brand through 80 R etail I nnovations 6 R etail I nnovations 6 81
  • 43.
    D a none S to r e - S PAI N the more famous Danone advertising campaigns down through the decades. Retail is detail This innovative space offers customers the opportunity to taste different types of yogurt and also frozen yogurt (also take-away), including several exclusive with tips and guidelines for With this outlet Danone has varieties that a healthy diet in a retail area followed a trend started by have not yet that seamlessly unites the other world-famous brand been put on the sleek interiors and modern names that have opened retail circuit. graphics with selected objects specific stores to endorse Two conference that transmit the values and their own products and foster rooms hosts history of the Danone group. greater customer interest. seminars on nutrition and Conclusions healthy eating Danone may consider the habits. The idea of opening other stores personnel in after this trial run inaugurated the customer care section is in April 2009 to coincide Key points of innovation composed of nutrition experts with the company’s ninetieth Storytelling and brand edutainment for customers who can provide visitors anniversary celebrations. Exclusive chance to try out new yogurt products Notes on Retail Mix Environment: high-tech styling blended with elements of the Danone tradition 5 separate areas: yogurt bar; restaurant; merchandising corner; interactive museum; auditorium for seminars 19 different yogurt toppings CRM area for interaction with customers Services: workshops offering guidelines for healthy eating, and food education 82 R etail I nnovations 6 R etail I nnovations 6 83
  • 44.
    SWEDEN Laxomat An automated delicatessen based on RFID technology that addresses the growing needs for the growing demand for flexibility in consumption and purchasing Key data Format: automated delicatessen restaurateur, set up his Launched: 2005 business in 1996 specialising 4 outlets in local dishes based on 27 sqm salmon and vegetables. Open 24/7 When his customers urged him for longer opening-hours, Lagnell took advice from an outside consultancy and accessible at all hours, and kitchen area. The purchasing decided to open a parallel offering an assortment of procedure is simple: the business – integrated with takeaway dishes. customer runs a credit card the restaurant, however – The Laxomat is situated near in the slot by the entrance, that could fulfil customer the restaurant proper, so as to types in a PIN number, Market opportunity requirements around the provide integrated activities and the door opens. Once Consumers are expecting clock. with an active service inside, the customer picks ever greater flexibility in their The solution was an entirely 24/7, as well as simplify up a shopping bag, chooses shopping, starting with store automated self-service food the operating logistics. All among a selection of dishes opening hours. store open 24 hours a day, products are labelled with an and drinks, then places the To address this demand by running on RFID technology. RFID tag created onsite in the bag on a counter where the extending shopping hours RFID interrogator reads the entails a proportionate tags, showing the all the increase in running costs, THE concept items it contains on a screen. most of which derives from 2005 saw the launch of The customer then inserts an increase in staff. the first Laxomat outlet, a his credit card and signs for Christer Lagnell, an fully automated store with the purchase on the screen, independent Swedish a footprint of only 27 sqm, and when he takes the 84 R etail I nnovations 6 R etail I nnovations 6 85
  • 45.
    L a x om a t - SWEDEN Conclusions Given the concept’s success, three new centres have been opened. At present the chain totals 350,000 purchase receipts per year. As the cost of the RFID food-tags receipt, the exit door opens is steadily decreasing, and Retail is detail automatically and he can now the demand for readymade The name Laxomat is a leave. dishes at any hour is on the combination of lax, meaning If the customer has made no rise, the concept promises salmon in Swedish, and purchases, he still uses his to offer some interesting automat. Some of the credit card to enter development margins in the best-selling dishes are local and leave, and the near future. salmon-based specialities. registration of his The Laxomat’s proximity to card details is a the restaurant ensures greater deterrent to theft. surveillance and security at all To ensure customer times, day and night. Key points of innovation safety, the interior Fully automated store open 24/7 using RFID technology of the store is also Integrated with nearby restaurant covered by CCTV connected to the Notes on Retail Mix web. Assortment: readymade hot and cold dishes; local specialities based on salmon No staff required Local touch: dishes based on salmon (the national speciality) 86 R etail I nnovations 6 R etail I nnovations 6 87
  • 46.
    SWITZERLAND - Bern Westside A multifunction urban centre that combines a large park with residential units, Key data retail mall, leisure amenities, and tertiary sector activities set Format: multifunctional complex within a complex of low-impact design Launched: 2008 141,500 sqm, 23,500 sqm of shopping space, 3,000 sqm of gastronomy and food courts, 10,000 sqm of swimming-pool and spa facilities business facilities. When that 55 stores, 10 eateries/bars mixture achieves a positive 95 apartments, and 22 rooms for senior citizen care balance, such zones inject 144 hotel rooms new life into the urban fabric 4.2 million visitors in the first year 350 euro million investment and offer significant sources 2008: 125 millions euro turnover of investment. The concept as a pole of attraction alive Almost half the total area The concept both day and night rather of the complex is covered Market opportunity Westside lies at the gates of than offer another hulking with a dense park designed Urban development in today’s the city of Bern, the Swiss shopping complex. Instead, to Swiss standards, and the cities requires the creation capital, and its catchment Westside provides a place leisure activities proposed of multifunctional zones in radius of 45 minutes’ drive where people live or meet include a multiplex cinema, which housing is integrated comprises around 1.2 million for work, and above all, a a swimming-pool with with modern retail areas that people, a significantly high place to spend one’s free health spa, and a food court offer a mixture of commerce, figure for Switzerland. time in a pleasant and with 10 eateries. The retail leisure amenities, culture, and The complex was designed stimulating environment. hub comprises 55 stores, 88 R etail I nnovations 6 R etail I nnovations 6 89
  • 47.
    W ests i d e - S WI T Z E RLA N D offer panoramic views over the landscape outside, both natural and manmade. The site of the Westside complex is also significant – sitting astride a motorway, it is highly visible and also easy to reach for people travelling to and from Bern by car. The complex’s popularity rose recently when including H&M, Globus, Peak The façade of the shopping it was chosen as the location Performance, Marc O’Polo, centre is made of timber for an opera broadcast live on and Levi’s. Westside has obtained from sustainable television. also become a destination production sources, and the for business meetings and complex as a whole employs Conclusions seminars, thanks to the cutting-edge energy-saving Westside has become a crucial related infrastructure and technology. Lying a mere ten reference point for the city hotel facilities. With this minutes from the city centre, of Bern, and attracts people formula Westside offers a Westside is well served by from a wide catchment area Key points of innovation multipurpose pole targeted at public transport, thereby thanks to its high degree of Harmonising of the complex’s different innovation and to the frequent functions a wide cross-section of end- greatly reducing the use of events that animate the centre. Balance of natural and manmade user – there is also a senior private vehicles and curbing Design with high level subsequent pollution. It registered over 4 million of eco-compatibility visitors in the first year of Retail is detail opening. Notes on Retail Mix Designed by the renowned Offering: residential facilities, leisure architect Daniel Libeskind, amenities, retail, hotel Westside is conceived as Multi-target urban mix: large park, a harmonious integration homes for senior citizens, of natural elements and business facilities modern forms, based on Location with low-impact a combination of cubic on the environment: public transport components. Numerous and direct access from the motorway citizen residential facility. skylights provide ample One of the project’s key natural illumination through concepts was respect for the all the pedestrian causeways, environment. and large glazed sections 90 R etail I nnovations 6 R etail I nnovations 6 91
  • 48.
    UNITED ARAB E M I R AT E S - Dubai Ajmal A new concept of ethnic chic offering a modern presentation of traditional Arab perfumes, while conquering a Western clientele Key data through its integrated shopping experience Format: perfumery Launched: July 2009 120 sqm Assortment: perfumes, oils, oudh-based scents while also expanding at 100% private brand 100 stores already open, another 100 scheduled international level. To do this, they have created a new concept store, which opened atmosphere, and encloses a women change their perfume in the Burjurman Shopping special area dedicated to the in the course of the day – Mall in Dubai in July 2009, oudh, a precious resin that using one for the morning, where it now attracts a is contained in most oriental one for the afternoon, and broader target shopper and perfumes, and costs up to another for the evening – and no longer only Arab men and 1,000 US dollars per gram. often make their purchases women. To address the eastern once a week. customers’ expectations Fragrances are used as a The concept and attract a flow of visitors means of self-expression Market opportunity The new concept store aims through the sales outlet, a and are chosen according Ajmal Perfumes is the United to modernise the brand fairly large area is reserved to mood, denoting a distinct Arab Emirates’ leading name image and the customer’s for new products. Generally difference from the western in the perfume sector, which shopping experience. The speaking in the Middle East, tradition, where the customer has integrated its activities store is divided into three both as producer and as areas. Two of these are orchestrates the different retailer with a network of in the front of the store, types of perfume as a means over 120 specialist stores one assigned to packaged of guiding the customer, in various countries across perfumes, and the other distinguishing the western the Middle East. The group focused on the select range and more delicate perfumes decided that this is an of essential oils, encased from the typically stronger opportune moment to in precious handmade eastern ones. The rear of the boost its domestic markets, glass containers. The layout store offers a more intimate 92 R etail I nnovations 6 R etail I nnovations 6 93
  • 49.
    A jm a l - UNITED ARAB E M IRA T E S devoted to oud-based perfumes is less brightly lit, to make the area more intimate and create a mood in keeping with a product that requires wears a single perfume for containers. The graphic special respect and attention. the entire day, and tend to device used throughout is keep a certain habit over the a winning blend of western Conclusions years. and Arab geometric forms, The new concept store is right and symbolises a cloud of on target with its primary Retail is Detail perfume dissipating in the objective of bringing Arab The company has developed air. The decor colours are perfumes to the attention an integrated visual identity mostly warm, with gold of a wider audience. While In the next 24 months, the that is proclaimed coherently predominating, to convey the group’s stores have concept will be applied to throughout the store and in high quality and luxury in a generally recorded a clientele the stores already opened, the packaging, along with welcoming and modern way composed solely of Arab men and 35 new openings are the in-store advertising to the international clientele and women, the presence of envisaged over the coming and furniture details, that makes up the main Europeans and Asians in this 36 months. including custom displays, target. Considerable attention store is around 40%, with lighting, and special oudh has been given to the lighting a greater number of male in particular – in the perfume visitors. area the light is more intense Key points of innovation and direct, drawing attention Innovative mixture of tradition and modern ideas to the department with the Ethnic chic shopping experience largest turnover of goods, and to give a more youthful Notes on Retail Mix touch to the interiors. In the Unique assortment essential oils section the light Intensive customer-oriented service is softer, with museum-like Some hand-crafted packaging display systems to underscore Contemporary/traditional atmosphere the preciousness and quality Mid- to high pricing of the products. The area 94 R etail I nnovations 6 R etail I nnovations 6 95
  • 50.
    USA - Seattle 15th Avenue Coffee and Tea A new coffee shop from the Starbucks Group that innovates in two directions: an assortment that offers new proposals each day, and includes beer and wine; and a more locally oriented philosophy that offers a platform for involvement, by which the clientele can decide the type of music played, the events, and which non-profit organisation to support Market opportunity Despite the general drive Key data towards globalisation, more Format: coffee shop and more people are seeking Launched: 2009 Starbucks Group solutions of a more local nature. This trend has been harnessed by Starbucks as part of its strategy reshuffle to cope with the drastic The concept though the brand’s spirit is slump the company has The early results have still present, given that the faced in the last few years. validated the “Schultz staff was largely siphoned off The founder Howard Schultz, treatment”, on the one hand from the “mother” chain. who returned as CEO, set two restoring credibility and The interiors are furnished priorities: on the one hand to prestige, and on the other with a notable quota of streamline by closing down providing the necessary funds recycled materials, such weaker outlets, and on the to launch the new label 15th as the seating, which was other to overhaul the core Avenue Coffee and Tea. salvaged from a disused selling feature of the group The pilot outlet opened in theatre. (coffee), and to launch a new Seattle in June 2009 and its The decor is predominantly chain entitled 15th Avenue concept is distinctly different wood and metal, establishing Coffee and Tea, which pivots from all the previous trials a simple and almost raw look on a local, street-level ethos. attempted by Starbucks, even that contrasts with the living- 96 R etail I nnovations 6 R etail I nnovations 6 97
  • 51.
    15 th a v en u e - USA retail formulas of assortment, pricing, events, solutions, and initiatives. The store’s different positioning from the standard outlets has enabled the Starbucks Group to target a type of customer who was until now off the radar. room style of the traditional what non-profit organisation Starbucks outlets. or local support-group to Moreover, the assortment at devolve the annual CSR quota 15th Avenue Coffee and Tea to. shatters the Starbucks taboo against alcohol Retail is detail by including beer and Each day new products and wine, a choice that variants are introduced so as Key points of innovation triggered a backlash to provide customers with a Local approach with customer input on the choice of music, associations, from the American wider choice than they would and events staged in store analysts, who however get at a traditional Starbucks. looked approvingly Notes on Retail Mix on the local factor, Conclusions Customer-oriented service with user-generated experience given that the joint The plan is to expand the Core product remains coffee, with beer and wine included hosts book-readings, 15th Avenue Coffee and Tea in the assortment concerts, and other concept so that it becomes New proposals introduced every day events related to an independent chain, but Furbished with recycled materials the city’s artists, and aside from this possible Simple, “raw” environment involves the customers development, this new in the daily running of concept of coffee-shop the store, such as what has provided an ongoing music to listen to, or laboratory for testing out 98 R etail I nnovations 6 R etail I nnovations 6 99
  • 52.
    USA - Austin Office Depot The first prototype of the “green” office superstore addresses the growing expectations of customers, while in turn prompting compliance Key data among both customers and staff Format: green concept store for office supplies Launched: 2008, in Austin (Texas) Office Depot Data complies with the “Leadership 1986: company founded with the opening of the first in Energy and Environmental retail outlet in Fort Lauderdale (Florida) Design” (LEED) standards. 1,100 stores (USA and Canada); 400 stores (rest of the world) THE concept 2008: $14,5 billions turnover In July 2008, Office Depot opened its first “green” outlet only aims for all-round entrance; while those who in Austin, Texas, as part of sustainability in its own arrive on a bicycle (both the company’s environmental operations, but advises customers or staff) are commitment towards the customers on their forms of assigned dedicated bike- demand for green products, compliance, starting with the racks. The illumination of Market opportunity a green lifestyle, and a green parking lot, where visitors are the store relies on daylight American customers are sales policy. Among the informed that the concrete filtering through 50 skylights, becoming more insistent special features of the store floors are made from recycled covering around 90% of on eco-friendly products are light systems triggered by materials, and that the white the store’s needs. Recycled and increasingly expect sensors installed in the offices paint reflects the sun’s rays, products are present the retailers themselves to and the restrooms; water- thereby helping to keep the everywhere, including 30% adopt sustainable models efficient plants; and floors parking lot cooler with less of the concrete floors, and of conduct at all levels of coverings made from 60% impact on the environment. 90% of the partitions. The their activities. To address recycled building materials Customers who drive low- shopping trollies were this demand, Office Depot, with a low-carbon emission emission (hybrid) vehicles purchased second-hand and the world leader in office quotient. and those who share an simply spray-painted. The supplies, has designed the In tune with the company’s automobile are awarded vast assortment of products first prototype of a store that polices, Office Depot not a special zone nearer the includes a great many green 100 R etail I nnovations 6 R etail I nnovations 6 101
  • 53.
    Of f i ce De p ot - USA Conclusions Office Depot is satisfied with the results achieved with this concept, and has decided that all the new stores that they open from June 2010 onwards will be LEED- compliant. items, from recycled paper to and toner cartridges, and regenerated toner cartridges, other technological products. solar-powered backpacks, The store is also equipped and CFLs (compact with systems for recycling Key points of innovation fluorescent lights). or regenerating items on All these green products the premises, thus avoiding Integrated approach to green issues: processes, products, services are clearly labelled and their disposal as waste. The Attentive campaign to encourage compliance among customers and staff easy to locate, and are staff that arrives at work contained in the Green on bicycles are rewarded Notes on Retail Mix Book listing over 3,000 with a “maintenance kit” Wide assortment of products, found also in Office Depot’s own Green Book products present on- that includes the free use Services: graphic design, printing, reproduction, mailing, shipping site. of a pump and patches for Green solutions: use of daylight; solar panels; high-performance reflecting repairs, thereby promoting membrane on roof; use of low-carbon-emission materials Retail is detail consistency with its green Recycling convergence point within the store, with an area assigned for The store also serves message among the defunct mobile phones as a collection workforce as well. Kiosk outside the store informing customers and staff on transport options point for objects available in Austin and materials that Multi-channel: sales through office supplies outlets, representatives, internet customers no longer use: sites, direct marketing catalogues, and call centres paper, cell-phone batteries, rechargeable batteries, ink 102 R etail I nnovations 6 R etail I nnovations 6 103
  • 54.
    WEB - France clubatcost.fr The “warehouse club” model goes online in French style with the sale of fashion items at “cost price” and revenue driven solely through member Key data Format: e-commerce of fashion clothing at cost price Launched: 2009 1 e-commerce website (www.clubatcost.fr) and 2 showrooms (Paris and Montpellier) 48 staff Market opportunity designer clothes, in which 11,000 members Retailers say “cut-price, the value of the label never special offer, end of season”, seems to quite justify the etc., but it is never clear just price, which has often been particular in non-food sectors to 70% cheaper than they what the “right” price is, and raised up to ten times. The such as clothing. are in the stores with an people often get the feeling climate of growing consumer equivalent level of style and they are paying too much, awareness and diminishing The concept quality. The company’s slogan particularly when it comes to incomes has created new Clubatcost.fr has found is simple enough – “No fashion products where prices opportunities for retail a smart way to address intermediaries, advertising fluctuate swiftly, depending businesses to focus more the dual expectations of costs, or marketing”. A pair on the retail channel and on on the intrinsic values of the its customers, with low, of Clubatcost.fr jeans comes whether the sales are during products, and selling online transparent pricing using to €21, practically the cost or after a season. Such doubts offers an interesting support an innovative commercial price. The retailer’s profits are particularly strong toward for this type of enterprise, model, offering items up lie entirely on the yearly 104 R etail I nnovations 6 R etail I nnovations 6 105
  • 55.
    c l ub a tcost . f r - WEB subscription of 120 that each customer pays to buy on the website, adopting the warehouse club-type (40 to 50 new-entries of business model. per week), high quality Part of the (production guaranteed company’s success stems guarantee of a 100% refund. from suppliers who from its stringent policy of Furthermore the site offers work for the top fashion transparency on pricing – for a highly useful system of brands), close attention to every product the buyer sees visualising the product the fashion trends of the the cost price relative to the on-screen high resolution, season, and the utmost country of production, the image rotation, zoom), and speed in processing total for taxes and the costs has now made it possible for orders. for shipping and logistics. customers to try the items At the very end, the on in the showrooms in Paris “Clubatcost price” is clearly and Montpellier. Key points of innovation indicated online, and always E-commerce concept store that sells clothing at cost price and earns profit compared against the Retail is detail only from the site subscriptions regular price in the high- Clubatcost.fr’s offering of Transparent and appealing indication of prices street. Another key feature female fashion is divided Very fast delivery (48h) of Clubatcost.fr is the ease into three styles (basic, of shopping online with a contemporary, and easy Notes on Retail Mix living), besides a line of Assortment: 100% private label; three styles: basic, contemporary, and easy- medium and high quality living, plus a high-end range. 40–50 new items put online each week items that employ precious Prices: around 70% lower than those found in traditional high-street stores, materials such as cashmere of the same quality and style and leather. Personnel: 48 staff, including 15 product managers and designers Services: delivery within 48 hours, payment 7 days from delivery, refund 100% To keep customers coming guaranteed (within 14 days of delivery); all services are completely free to back to the site, the company encourage customers to order online has opted for a “fast-fashion” Website: sophisticated system of visualisation of every product type or retailing, by ensuring Multi-channel: two showrooms to give customers the chance to try clothes on a rapid turnover of the Media: daily newsletter with updates on the latest bargains and new-entries collections 106 R etail I nnovations 6 R etail I nnovations 6 107
  • 56.
    WEB - Great Britain mydeco.com A Web 2.0 portal that provides inspiration and guidelines for consumers to customise their own interior furnishings and home decorations, also enabling interchange between members of the community combinations. For this reason, Mydeco has addressed the Key data challenge with a concept that Format: 2.0 portal is garnering considerable Launched: 2007 success: an online platform Founders: Brent Hoberman and Martha Lane Fox based on a multi-brand 5 mln SKU catalogue connected through 35 staff the web with each brand’s 2,000 retailers involved 80,000 active members of the community site, enabling customers, fanatics, and professionals who have joined the community to swap ideas and put forward their own hybrid 500 retailers and combines interior designs. the broad selection with Market opportunity 3D software that allows As with other pioneers of The concept end-users to design their Web 2.0 sites, the Mydeco Mydeco was founded in 2008 own interiors, be it a room online concept store devoted with the backing of high- or an entire house. So far, to interior design and home profile personalities such some 1,000 such designs can create a “moodboard” decorating has taken its cue as Skype co-founder Niklas have been completed (and by selecting from among the from the fact that people Zetterström, and Sir Terence archived). Consumers can many components available are becoming increasingly Conran and Philippe Starck, upload photos of the room on the site; alternatively they diffident towards brands per who are on the board of they intend to decorate and can consult other people’s se, and prefer to concoct directors. then modify the colours with moodboards, and take part in their own hybrid styles and Mydeco offers products from a click of the mouse; or they design competitions, showing 108 R etail I nnovations 6 R etail I nnovations 6 109
  • 57.
    my d eco . com - WEB opportunities: the total customisation of the style of one’s home or of a room, off their creative flair with the a minimum 3% cut on the including articles from interactive 3D design tools. sales. Members can upload lesser-known designers; Another important utility is images of their projects, and the chance to share skills the application Buy the look a Mydeco team evaluates Conclusions and get inspiration from for less. If a consumer finds a whether to put them into The project is enjoying experts and other members room he or she likes but the production; in this case notable success for the of the community; and the price seems too steep, one Mydeco receives a 12% cut of innovative model it employs. opportunity to spend less just clicks the Buy the look each project sold. Through its platform while still solutions suited for for less button and Mydeco Mydeco offers a variety of one’s chosen style. proposes a cheaper version of Retail is detail the room that keeps its style. Typical of other social media Purchasers can also build networks, Mydeco also carries their own “Wish List”. online community blog where The actual sale of the items members can exchange Key points of innovation is effected by the retail ideas, plans, and design tips: Simple procedure for transferring customers’ ideas on home design solutions partners of Mydeco, who get here they can chat about Platform that encourages sharing of skills and ideas among community members a 12% cut on all products what’s new and hot on the sold as a consequence of the design front. More stimuli is Notes on Retail Mix user traffic those partners provided by the company’s Prices: supplied by each product’s brand and aligned with the company’s own have recorded on the site. own bloggers, who showcase website Community members can chosen interiors and designs Single channel: website also earn something: every and analyse the emerging Assortment: wide selection of furniture and accessories for the home, with some time a product is sold from a exclusive products created by members trends. Communication: blogs, web communities, and social media room they designed, they get 110 R etail I nnovations 6 R etail I nnovations 6 111
  • 58.
    WEB - USA groupon.com Groupon – a handy contraction of group + coupon – is an innovative website that runs special deals on products and services which change every day, and are only valid if the online community buys a preset minimum number of coupons, following a mechanism that has so far earned enthusiastic ratings and high sales turnover Key data Format: e-promotion Launched: 2008 2 million members across the United States 1.4 million Groupons sold since its launch 2010: 350 mln$ revenue 48 cities in the US covered (100 within the end of 2010) and London tipping-point established of-mouth and the active beforehand from case to involvement of certain people case. Groupon focuses on a in campaigning to reach the wide range of special deals right quota of people. All (such as tickets for shows, past deals are listed on the dining out, courses, club website so that everyone memberships, etc.), which can see the results of each Market opportunity The concept differs for each city. campaign: for instance, the The growing trend for saving Groupon’s slogan is At times their success has annual membership to the money through collective “collective buying power”, and proved dramatic, such as the Art Institute of Chicago with a buying is a rapidly growing its novel mechanism is based Groupons for a production 64% discount garnered 4,913 facet of new consumerist on bargain deals for services, of Faust at the Chicago Lyric Groupons; the $50 vouchers philosophy, and Groupon has gift vouchers, and products. Opera, which sold out in a for jeans worth $125 from taken advantage of the web’s Each deal is valid for one few hours; a similar thing Denim Lounge were snapped capacity to spawn virtual day only, and is not activated happened with tickets for a up by 1,269 Groupon consumer groups to this end. unless the number of Chicago Cubs game. members. The returns on subscribers reaches the preset The system works by word- the system also lies in the 112 R etail I nnovations 6 R etail I nnovations 6 113
  • 59.
    g r ou p on - WEB In 2009 Groupon received a block investment of 30 million dollars from the Pal Alto-based company Accel Partners, whose portfolio added sales generated by with Groupon, including includes Facebook and the Groupons themselves, the company’s hands-on ComScore. Groupon’s founder by which members tend assistance in handling the and CEO Andrew Mason to spend another 60% sudden surge of requests. expects to hit the figure of each time they utilise their Today there is a waiting list 350 million dollars in revenue Groupon deal. of 100 companies, including by the end of 2010. both retailers and service operators, to become partners of Groupon. Conclusions Groupon has already expanded into many markets in the United States, starting with Chicago, followed Key points of innovation Retail is detail by Boston and New York, A winning publicity mechanism that generates a high turnover The launch of a Groupon and has quickly covered has proved an excellent 48 cities, wiht another 100 Notes on Retail Mix and highly focused way of expected within 2010. In Assortment: most Groupons focus on services: restaurants, service gift vouchers spotlighting the respective the United States alone it (manicures, etc.), museum memberships, courses (diving, hypnosis, etc.) partner, as well as generating has over 2 million members, Deals are local and tailored to the expectations of each market, a high sale turnover in a drawing from online review sites such as Yelp and Chicago has 220,000 single day. Various retailers Groupon is linked to social networking via Twitter and Facebook to accelerate subscribers to the Groupon have stated satisfaction and boost awareness of the offers newsletter. with the results of working 114 R etail I nnovations 6 R etail I nnovations 6 115
  • 60.
    WEB - USA zappos.com Providing an excellent online service full of surprises and entertainment, Zappos has achieved success in e-tailing without resorting to price cuts or advertising – in ten years its turnover leaped from a million to a billion dollars, thanks to the enthusiastic service and a hand-picked crew of highly motivated staff achieve, and that it is also one of the main indicators of success for any company in the long term. Other studies have revealed the hurdles Key data of selling “sensory” products Format: e-tailer online, such as clothing and Launched: 1999 footwear. Zappos.com has 2007 records gross profits Market opportunity successfully tackled these two 2009: bought by Amazon.com The growth rate of Zappos. fronts by pivoting its sales 2009: $1 billion turnover com’s online retailing strategy on customer service. 900,000 products (footwear, clothing, accessories) business keeps rising, and Although this has required 2009: E-tailer Award at the World Retail Congress forecasts indicate that in the substantial investments to United States it will continue the detriment of marginal The product offering Zappos.com aims to take to expand by 6 to 8% each gains in the short term, the comprises a huge range of the customer by surprise year for the coming five years. word about Zappos.com items and accessories in a with a high and unexpected Even sharper increases are has spread, making it an wide range of sizes, styles, standard of service: free, expected for the online sales obligatory port-of-call for and over a 1,000 leading overnight shipping of orders, of footwear, clothing, and demanding online buyers, makers of footwear. In order and excellent after-sales accessories overseas. despite all products being to smoothly handle the service, with the chance sold at list price, owing to million plus orders it receives, to return purchases within The concept the company’s decision to the group has invested time 365 days, even if due to a Many market studies have effect discounts and sales and money in logistics and customer simply changing shown that client satisfaction only through their completely internal operations. their mind. is increasingly hard to separate outlet, 6PM.com. 116 R etail I nnovations 6 R etail I nnovations 6 117
  • 61.
    z a pp os . com - WEB with a $1,000 handshake - the amount of people who accept this form of firing is only 10% and this system has reduced the turnover of Zappos.com has outlined its 6. Build Open and Honest long-term staff, ensuring the of 2009 Amazon.com, the mission with a list of ten core Relationships With company greater continuity biggest online retailer in the values, which it encourages Communication in the service offered to its United States, bought up its 1,400+ staff to share and 7. Build a Positive Team and customers. Zappos.com, declaring that it honour: Family Spirit would nevertheless continue 1. Deliver WOW Through 8. Do More With Less Conclusions to run the concern with Service 9. Be Passionate and Set up in 1999, the group continuity and differentiation 2. Embrace and Drive Determined grossed over $800 million regarding its own business. Change 10. Be Humble in merchandise sales in The innovation may entail a 3. Create Fun and A Little 2007. It is therefore no small broadening of the categories Weirdness Retail is detail wonder that in the summer presently covered. 4. Be Adventurous, Creative, Besides the call centre and and Open-Minded chat-line on the site, there 5. Pursue Growth and are 500 staff members ready Learning to answer queries on Twitter, Key points of innovation Facebook, and MySpace. To Online business focused on excellent service and not price get on the Zappos.com team is not easy and requires a Notes on Retail Mix great deal of commitment Full-price on purchases Vast assortment of well-known national and international brands and personal responsibility. Service: free shipping; 100% no-fuss return policy within 365 days For this reason, if a trainee of purchase; enthusiastic personnel does not meet up to the Media: intensive use of social media and word-of-mouth publicity exacting standards of the company, he or she is let go 118 R etail I nnovations 6 R etail I nnovations 6 119
  • 62.
    a c kno w l e d gments Special thanks to: • Roberto Chelucci (Sconto Maxi) • Nicola Farinetti (Eataly) • Laura García (Tous) • Cristina Larrumbe (National Geographic) • Paolo Lucchetta (Retail Design) • Domenico Pellicanò (Librerie.coop) • Tiziana Primori (Coop Adriatica) • Francesco Pietrangeli (Pirelli Tyre) • Rossana Subrizio (Chicco Artsana) • Andrea Trillo (Danone) Thanks also to the Ebeltoft members and team: • Luke Lim, Chew Lay Bee (A.S. Louken) • Deborah Smith Cabrera, Xavier Kaffmann (Dia-Mart) • Marco Fuhrer, Franziska Luthiger (Fuhrer & Hotz) • Renato Müller (Gouvea de Souza & MD) • Constanze Cravaack (Gruppe Nymphenburg) • John Williams, Jim Okamura, Julia Kang (J.C.Williams Group) • Irene Gilardoni, Ilaria Zanette (Kiki Lab) • Magda Espuga, Mireia Martì, Gibet Moll (Kiss Retail) • Laura Ann Brown, Neil Stern (McMillan Doolittle) • Monica Lucas, Stephen Walsh (Pragma Consulting) • Bijitesh Mallik (Ramms) • Michael Skou, Mette Skovgaard Frich (Retail Institute of Scandinavia) • Raffaele Miraglia (honorary member) Photos have been supplied by Ebeltoft members or directly by the retail firms Translation:Andrew Ellis - Word Studio Technical Editing: Neil Stern (McMillan Doolittle) Fabrizio Valente, founder partner of Kiki Lab and founding member of the business alliance Ebeltoft, has coordinated the 2010 research 120 R etail I nnovations 6
  • 63.
    B eyond every horizon, new horizons always rise (Michael Ende) The crisis under way is accentuating the polarisation between the mass of operators on the one hand who are shy of innovating, and on the other those of a more daring and long-sighted nature who continue to allocate resources and ideas toward renewal, and even undertake restructuring and streamlining operations in parallel if necessary. Retail Investing in innovative projects at the present juncture therefore represents an even greater opportunity. Confirming this is the wide range of projects we present in this year’s overview of retail innovations. Thanks to our partnership with the World Retail Congress, we have been entrusted with assessing the Research coordinated by Fabrizio Valente - Kiki Lab and Ebeltoft founder cases competing for the Retail Innovation Award and of selecting six finalists. Despite the recession, Innovations 6 new project ideas are being explored everywhere. (…) As always, time will determine which of these innovative strategies will enjoy enduring success. And though these projects all got off on the right foot, every retailer knows that success must be renewed each day. So, we wish the best of luck to those who (like ourselves) have found inspiration from their stores. 2010 Shaping the future of retail Innovation trends • Socialtailing • Accessible dreams • “I trust you” • Greentailing • Pro-client efficiency • Liquid retail • Glocalism • Emerging retail territories Research coordinated by Fabrizio Valente - Kiki Lab Founder member of Ebeltoft Ebeltoft is a business alliance, which was founded in 1990 and is comprised of 19 firms that have a common, strong focus on the retail and service business, and provide consulting a wide range of services to Retail Innovations 6 help retailers and suppliers in the retail sector remain competitive and achieve their goals. Ebeltoft members work worldwide both for many market leaders and for important emerging local players. Ebeltoft has been studying trends and innovations in Retail since it was founded and, since 2005, has published the yearly report Retail Innovations that focuses on emerging trends and the most interesting cases worldwide. Last international surveys: The Trust Factor in Retail; N@o Consumer For a personal presentation of the Retail Innovations research and our last international surveys please contact your local member of Ebeltoft at : www.ebeltoftgroup.com